Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2017 | Feb. 22, 2018 | Jun. 30, 2017 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2017 | ||
Document Fiscal Year Focus | 2,017 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | ENVA | ||
Entity Registrant Name | Enova International, Inc. | ||
Entity Central Index Key | 1,529,864 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 33,648,496 | ||
Entity Public Float | $ 486,263,710 |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Cash and cash equivalents | $ 68,684 | $ 39,934 |
Restricted cash and cash equivalents | 29,460 | 26,306 |
Loans and finance receivables, net | 704,705 | 561,550 |
Income taxes receivable | 4,092 | |
Other receivables and prepaid expenses | 23,817 | 19,524 |
Property and equipment, net | 48,525 | 47,100 |
Goodwill | 267,015 | 267,010 |
Intangible assets, net | 4,325 | 5,404 |
Other assets | 8,837 | 11,051 |
Total assets | 1,159,460 | 977,879 |
Liabilities and Stockholders' Equity | ||
Accounts payable and accrued expenses | 77,123 | 71,671 |
Income taxes currently payable | 282 | |
Deferred tax liabilities, net | 12,108 | 14,316 |
Long-term debt | 788,542 | 649,911 |
Total liabilities | 877,773 | 736,180 |
Commitments and contingencies (Note 10) | ||
Stockholders' equity: | ||
Common stock, $0.00001 par value, 250,000,000 shares authorized, 33,932,673 and 33,364,525 shares issued and 33,504,555 and 33,293,100 outstanding as of December 31, 2017 and 2016, respectively | 0 | 0 |
Preferred stock, $0.00001 par value, 25,000,000 shares authorized, no shares issued and outstanding | ||
Additional paid in capital | 29,781 | 18,446 |
Retained earnings | 264,695 | 235,455 |
Accumulated other comprehensive loss | (7,086) | (11,578) |
Treasury stock, at cost (428,118 and 71,425 shares as of December 31, 2017 and 2016, respectively) | (5,703) | (624) |
Total stockholders' equity | 281,687 | 241,699 |
Total liabilities and stockholders' equity | $ 1,159,460 | $ 977,879 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Restricted cash and cash equivalents | $ 29,460 | $ 26,306 | |
Loans and finance receivables, gross | 827,749 | 660,495 | |
Allowance for loan losses | 123,044 | 98,945 | |
Long-term debt | $ 211,406 | [1] | $ 165,419 |
Common stock, par value per share | $ 0.00001 | $ 0.00001 | |
Common stock, shares authorized | 250,000,000 | 250,000,000 | |
Common stock, shares issued | 33,932,673 | 33,364,525 | |
Common stock, shares outstanding | 33,504,555 | 33,293,100 | |
Preferred stock, par value per share | $ 0.00001 | $ 0.00001 | |
Preferred stock, shares authorized | 25,000,000 | 25,000,000 | |
Preferred stock, shares issued | 0 | 0 | |
Preferred stock, shares outstanding | 0 | 0 | |
Treasury stock, shares | 428,118 | 71,425 | |
Variable Interest Entity, Primary Beneficiary | |||
Restricted cash and cash equivalents | $ 21,696 | $ 19,468 | |
Loans and finance receivables, gross | 282,724 | 234,497 | |
Allowance for loan losses | 22,728 | 17,731 | |
Long-term debt | 211,406 | 165,419 | |
Unamortized debt issuance cost | $ 3,271 | $ 1,869 | |
[1] | The 2016-1 Securitization Facility matures at various dates, the latest of which will be April 15, 2021, and the 2016-2 Facility matures on December 1, 2019. |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||
Income Statement [Abstract] | |||||||||||||||||||
Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | $ 843,741 | $ 745,569 | $ 652,600 | ||||||||
Cost of Revenue | 127,545 | 107,341 | 79,862 | 81,884 | 97,545 | 95,391 | 65,453 | 69,577 | 396,632 | 327,966 | 216,858 | ||||||||
Gross Profit | 116,151 | 110,537 | 110,042 | 110,379 | 104,893 | 100,552 | 107,082 | 105,076 | 447,109 | 417,603 | 435,742 | ||||||||
Expenses | |||||||||||||||||||
Marketing | 101,429 | 97,404 | 116,882 | ||||||||||||||||
Operations and technology | 95,155 | 85,202 | 74,012 | ||||||||||||||||
General and administrative | 101,723 | 97,956 | 102,073 | ||||||||||||||||
Depreciation and amortization | 14,388 | 15,564 | 18,388 | ||||||||||||||||
Total Expenses | 312,695 | 296,126 | 311,355 | ||||||||||||||||
Income from Operations | 134,414 | 121,477 | 124,387 | ||||||||||||||||
Interest expense, net | (74,003) | (65,603) | (52,883) | ||||||||||||||||
Foreign currency transaction gain (loss), net | 384 | 1,562 | (985) | ||||||||||||||||
Loss on early extinguishment of debt | (22,895) | ||||||||||||||||||
Income before Income Taxes | 37,900 | 57,436 | 70,519 | ||||||||||||||||
Provision for income taxes | 8,660 | 22,834 | 26,527 | ||||||||||||||||
Net Income | $ 6,883 | $ (3,368) | $ 11,873 | $ 13,852 | $ 8,714 | $ 7,837 | $ 8,188 | $ 9,863 | $ 29,240 | $ 34,602 | $ 43,992 | ||||||||
Earnings per common share: | |||||||||||||||||||
Basic | $ 0.87 | $ 1.04 | $ 1.33 | ||||||||||||||||
Diluted | $ 0.20 | $ (0.10) | $ 0.35 | $ 0.41 | $ 0.26 | $ 0.23 | $ 0.25 | $ 0.30 | $ 0.86 | $ 1.03 | $ 1.33 | ||||||||
Weighted average common shares outstanding: | |||||||||||||||||||
Basic | 33,523 | 33,192 | 33,006 | ||||||||||||||||
Diluted | 34,172 | [1] | 33,670 | [1] | 34,125 | [1] | 34,036 | [1] | 33,767 | [1] | 33,558 | [1] | 33,335 | [1] | 33,187 | [1] | 34,132 | 33,462 | 33,026 |
[1] | See Note 1 for Basis of Presentation. |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Statement Of Income And Comprehensive Income [Abstract] | ||||||||||||
Net Income | $ 6,883 | $ (3,368) | $ 11,873 | $ 13,852 | $ 8,714 | $ 7,837 | $ 8,188 | $ 9,863 | $ 29,240 | $ 34,602 | $ 43,992 | |
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | [1] | 4,492 | (6,956) | (1,451) | ||||||||
Total other comprehensive gain (loss), net of tax | 4,492 | (6,956) | (1,451) | |||||||||
Comprehensive Income | $ 33,732 | $ 27,646 | $ 42,541 | |||||||||
[1] | Net of tax (provision) benefit of $(2,517), $3,939 and $592 for the years ended December 31, 2017, 2016 and 2015, respectively. |
CONSOLIDATED STATEMENTS OF COM6
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Tax (provision) benefit of foreign currency translation (gain) loss | $ (2,517) | $ 3,939 | $ 592 |
CONSOLIDATED STATEMENTS OF STOC
CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid in Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Treasury Stock | |
Balance at Dec. 31, 2014 | $ 153,984 | $ 294 | $ 156,861 | $ (3,171) | |||
Balance, in shares at Dec. 31, 2014 | 33,000,000 | ||||||
Stock-based compensation expense | 9,630 | 9,630 | |||||
Shares issued under stock-based plans | 151,000 | ||||||
Net income | 43,992 | 43,992 | |||||
Foreign currency translation gain (loss), net of tax | (1,451) | [1] | (1,451) | ||||
Purchases of treasury shares, at cost | (187) | $ (187) | |||||
Treasury Stock Shares Acquired | (29,000) | ||||||
Balance at Dec. 31, 2015 | 205,968 | 9,924 | 200,853 | (4,622) | $ (187) | ||
Balance, in shares at Dec. 31, 2015 | 33,151,000 | (29,000) | |||||
Stock-based compensation expense | 8,522 | 8,522 | |||||
Shares issued under stock-based plans | 214,000 | ||||||
Net income | 34,602 | 34,602 | |||||
Foreign currency translation gain (loss), net of tax | (6,956) | [1] | (6,956) | ||||
Purchases of treasury shares, at cost | (437) | $ (437) | |||||
Treasury Stock Shares Acquired | (42,000) | ||||||
Balance at Dec. 31, 2016 | $ 241,699 | 18,446 | 235,455 | (11,578) | $ (624) | ||
Balance, in shares at Dec. 31, 2016 | 33,364,525 | 33,365,000 | (71,000) | ||||
Stock-based compensation expense | $ 11,307 | $ 11,307 | |||||
Shares issued under stock-based plans | 28,000 | 568,000 | 28,000 | ||||
Net income | $ 29,240 | 29,240 | |||||
Foreign currency translation gain (loss), net of tax | 4,492 | [1] | 4,492 | ||||
Purchases of treasury shares, at cost | (5,079) | $ (5,079) | |||||
Treasury Stock Shares Acquired | (357,000) | ||||||
Balance at Dec. 31, 2017 | $ 281,687 | $ 29,781 | $ 264,695 | $ (7,086) | $ (5,703) | ||
Balance, in shares at Dec. 31, 2017 | 33,932,673 | 33,933,000 | (428,000) | ||||
[1] | Net of tax (provision) benefit of $(2,517), $3,939 and $592 for the years ended December 31, 2017, 2016 and 2015, respectively. |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash Flows from Operating Activities | |||
Net Income | $ 29,240 | $ 34,602 | $ 43,992 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 14,388 | 15,564 | 18,388 |
Amortization of deferred loan costs and debt discount | 7,196 | 6,913 | 3,371 |
Cost of revenue | 396,632 | 327,966 | 216,858 |
Stock-based compensation expense | 11,307 | 8,522 | 9,630 |
Fair value changes in contingent purchase consideration | 2,358 | 3,300 | |
Loss on early extinguishment of debt | 22,895 | ||
Deferred income taxes, net | (4,742) | (2,201) | (1,399) |
Other | (55) | (151) | 984 |
Changes in operating assets and liabilities: | |||
Finance and service charges on loans and finance receivables | (19,056) | (16,232) | (467) |
Other receivables and prepaid expenses | (3,310) | 843 | (3,804) |
Accounts payable and accrued expenses | (5,306) | 8,462 | 8,673 |
Current income taxes payable | (4,374) | 5,785 | (12,305) |
Net cash provided by operating activities | 447,173 | 393,373 | 283,921 |
Cash Flows from Investing Activities | |||
Loans and finance receivables originated or acquired | (1,419,399) | (1,308,197) | (1,172,169) |
Loans and finance receivables repaid | 909,554 | 858,048 | 849,358 |
Change in restricted cash | (2,565) | (20,126) | |
Acquisitions, net of cash acquired | (17,735) | ||
Purchases of property and equipment | (16,528) | (14,396) | (32,241) |
Other investing activities | 1,805 | 95 | 618 |
Net cash used in investing activities | (527,133) | (484,576) | (372,169) |
Cash Flows from Financing Activities | |||
Borrowings under revolving line of credit | 30,000 | 58,400 | 63,400 |
Repayments under revolving line of credit | (30,000) | (116,800) | (5,000) |
Borrowings under securitization facility | 359,842 | 280,075 | |
Repayments under securitization facility | (313,853) | (114,656) | |
Issuance of senior notes | 250,000 | ||
Repayments of senior notes | (155,000) | ||
Debt issuance costs paid | (14,662) | (6,702) | (1,596) |
Debt prepayment penalty paid | (16,694) | ||
Proceeds from exercise of stock options | 28 | ||
Treasury shares purchased | (5,079) | (437) | (187) |
Net cash provided by financing activities | 104,582 | 99,880 | 56,617 |
Effect of exchange rates on cash | 4,128 | (10,809) | (1,409) |
Net increase (decrease) in cash and cash equivalents | 28,750 | (2,132) | (33,040) |
Cash and cash equivalents at beginning of year | 39,934 | 42,066 | 75,106 |
Cash and cash equivalents at end of period | $ 68,684 | $ 39,934 | $ 42,066 |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Significant Accounting Policies | 1. Significant Accounting Policies Nature of the Company Enova International, Inc., formed on September 7, 2011, is an independent, publicly traded company, and the Company’s shares of common stock are listed on the New York Stock Exchange under the symbol “ENVA.” The Company originates, guarantees or purchases consumer loans. Consumer loans provide customers with cash in their bank account, typically in exchange for an obligation to repay the amount advanced plus fees and/or interest. Consumer loans include short-term loans, line of credit accounts and installment loans. The Company provides financing to small businesses through either a line of credit account, installment loan or a receivables purchase agreement product (“RPAs”). RPAs represent a right to receive future receivables from a small business. Small businesses receive funds in exchange for a portion of the business’ future receivables at an agreed upon discount. In contrast, lending is a commitment to repay principal and interest. “Loans and finance receivables” include consumer loans, small business loans and RPAs. Short-term loans include unsecured short-term loans written by the Company or by a third-party lender through the Company’s credit services organization and credit access business programs (“CSO programs” as further described below) that the Company guarantees. Line of credit accounts include draws made through the Company’s line of credit product. Installment loans are longer-term multi-payment loans that generally require the outstanding principal balance to be paid down in multiple installments and are written by the Company, by a third-party lender through the CSO programs or by a bank partner. Through the Company’s CSO programs, the Company provides services related to a third-party lender’s consumer loan products in some markets by acting as a credit services organization or credit access business on behalf of consumers in accordance with applicable state laws. Services offered under the CSO programs include credit-related services such as arranging loans with independent third-party lenders and assisting in the preparation of loan applications and loan documents (“CSO loans”). Under the CSO programs, the Company guarantees consumer loan payment obligations to the third-party lender in the event that the customer defaults on the loan. CSO loans are not included in the Company’s financial statements, but the Company has established a liability for the estimated losses related to the guarantee on these loans in its consolidated balance sheets. The Company operates a program with a bank to provide technology, marketing services, and loan servicing for near-prime unsecured consumer installment loans. Under the program, the Company receives marketing and servicing fees while the bank receives an origination fee. The bank has the ability to sell the loans it originates to the Company. The Company does not guarantee the performance of the loans originated by the bank. Basis of Presentation The consolidated financial statements of the Company reflect the historical results of operations and cash flows of the Company during each respective period. The financial statements include goodwill and intangible assets arising from businesses previously acquired. The financial information included herein may not be indicative of the consolidated financial position, operating results, changes in stockholders’ equity and cash flows of the Company in the future. Intercompany transactions are eliminated. The Company consolidates any variable interest entity (“VIE”) where it has determined the Company is the primary beneficiary. The primary beneficiary is the entity which has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance as well as the obligation to absorb losses or receive benefits of the entity that could potentially be significant to the VIE. Use of Estimates The preparation of these financial statements in conformity with accounting principles generally accepted in the United States (“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 dates of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. On an on-going basis, management evaluates its estimates and judgments, including those related to revenue recognition, allowance for losses on loans and finance receivables, goodwill, long-lived and intangible assets, income taxes, contingencies and litigation. Management bases its estimates on historical experience, empirical data and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Actual results may differ from these estimates. Out-of-Period Adjustment In a review of its revenue recognition policy during 2015, the Company determined that certain fees on its line of credit product should be deferred over the period the draw is outstanding rather than recognized as revenue when assessed. The Company recorded a $2.5 million reduction to revenue in the fourth quarter of 2015 as an out-of-period adjustment. This adjustment included a $2.8 million reduction of revenue associated with periods prior to 2015. The Company believes this adjustment was not material to any of the prior years’ financial statements. Foreign Currency Translations The functional currencies for the Company’s subsidiaries that serve or have served residents of the United Kingdom, Australia, Canada and Brazil are the British pound, the Australian dollar, the Canadian dollar and the Brazilian real, respectively. The assets and liabilities of these subsidiaries are translated into U.S. dollars at the exchange rates in effect at each balance sheet date, and the resulting adjustments are recorded in “Accumulated other comprehensive income (loss)” (“AOCI”) as a separate component of stockholders’ equity. Revenue and expenses are translated at the monthly average exchange rates occurring during each period. Cash and Cash Equivalents The Company considers deposits in banks and short-term investments with original maturities of 90 days or less as cash and cash equivalents. Restricted Cash The Company includes funds to be used for future debt payments relating to its securitization transactions and escrow deposits in restricted cash and cash equivalents. Revenue Recognition The Company recognizes revenue based on the financing products and services it offers and on loans it acquires. “Revenue” in the consolidated statements of income includes: interest income, finance charges, fees for services provided through the Company’s credit services organization and credit access business programs (“ Current and Delinquent Loans and Finance Receivables The Company classifies its loans and finance receivables as either current or delinquent. Short-term loans are considered delinquent when payment of an amount due is not made as of the due date. If a line of credit account or installment loan customer misses one payment, that payment is considered delinquent and the balance of the loan is considered current. If a line of credit account or installment loan customer does not make two consecutive payments, the entire account or loan is classified as delinquent and placed on a non-accrual status. The Company allows for normal payment processing time before considering a loan delinquent but does not provide for any additional grace period. Where permitted by law and as long as a loan is not considered delinquent, a customer may choose to renew a short-term loan or installment loan or extend the due date on a short-term loan. In order to renew or extend a short-term loan, a customer must agree to pay the current finance charge for the right to make a later payment of the outstanding principal balance plus an additional finance charge. In order to renew an installment loan, the customer enters into a new installment loan contract and agrees to pay the principal balance and finance charge in accordance with the terms of the new loan contract. If a short-term loan is renewed, but the customer fails to pay that loan’s current finance charge as of the due date, the unpaid finance charge is classified as delinquent. The Company does not accrue interest on delinquent loans and does not resume accrual of interest on a delinquent loan unless it is returned to current status. In addition, delinquent loans generally may not be renewed, and if, during its attempt to collect on a delinquent loan, the Company allows additional time for payment through a payment plan or a promise to pay, it is still considered delinquent. Generally, all payments received are first applied against accrued but unpaid interest and fees and then against the principal balance of the loan. Allowance and Liability for Estimated Losses on Loans and Finance Receivables The Company monitors the performance of its loan and finance receivable portfolios and maintains either an allowance or liability for estimated losses on loans and finance receivables (including revenue, fees and/or interest) at a level estimated to be adequate to absorb losses inherent in the portfolio. The allowance for losses on the Company’s owned loans and finance receivables reduces the outstanding loans and finance receivables balance in the consolidated balance sheets. The liability for estimated losses related to loans guaranteed under its CSO programs is initially recorded at fair value and is included in “Accounts payable and accrued expenses” in the consolidated balance sheets. In determining the allowance or liability for estimated losses on loans and finance receivables, the Company applies a documented systematic methodology. In calculating the allowance or liability for receivable losses, outstanding loans and finance receivables are divided into discrete groups of short-term loans, line of credit accounts, installment loans and RPAs and are analyzed as current or delinquent. Increases in either the allowance or the liability, net of charge-offs and recoveries, are recorded as a “Cost of revenue” in the consolidated statements of income. The allowance or liability for short-term loans classified as current is based on historical loss rates adjusted for recent default trends for current loans. For delinquent short-term loans, the allowance or liability is based on a six-month rolling average of loss rates by stage of collection. For line of credit account, installment loan and RPA portfolios, the Company generally uses either a migration analysis or roll-rate based methodology to estimate losses inherent in the portfolio. The allowance or liability calculation under the migration analysis and roll-rate methodology is based on historical charge-off experience and the loss emergence period, which represents the average amount of time between the first occurrence of a loss event and the charge-off of a loan or RPA. The factors the Company considers to assess the adequacy of the allowance or liability include past due performance, historical behavior of monthly vintages, underwriting changes, delinquency status, payment history and recency factors. The Company fully reserves for loans and finance receivables once the receivable or a portion of the receivable has been classified as delinquent for 60 consecutive days and generally charges off loans and finance receivables between 60 – 65 days delinquent. If a loan or finance receivable is deemed uncollectible before it is fully reserved, it is charged off at that point. Loans and finance receivables classified as delinquent generally have an age of one to 64 days from the date any portion of the receivable became delinquent, as defined above. Recoveries on loans and finance receivables previously charged to the allowance are credited to the allowance when collected. Property and Equipment Property and equipment is recorded at cost. The cost of property retired or sold and the related accumulated depreciation are removed from the accounts, and any resulting gain or loss is recognized in the consolidated statements of income. Costs associated with repair and maintenance activities are expensed as incurred. Depreciation expense is generally provided on a straight-line basis, using the following estimated useful lives: Computer hardware and software 3 to 5 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements (1) 3 to 10 years (1) Leasehold improvements are depreciated over the lesser of the estimated useful life, remaining lease term, or 10 years. Software Development Costs The Company applies Accounting Standards Codification (“ASC”) 350-40, Internal Use Software Goodwill Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in each business combination. In accordance with ASC 350, Intangibles—Goodwill and Other The Company first assesses qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test. In assessing the qualitative factors, management considers relevant events and circumstances including but not limited to macroeconomic conditions, industry and market environment, overall financial performance of the Company, cash flow from operating activities, market capitalization and stock price. If the Company determines that the two-step quantitative impairment test is required, management uses the income approach to complete its annual goodwill assessment. The income approach uses future cash flows and estimated terminal values for the Company that are discounted using a market participant perspective to determine the fair value, which is then compared to the carrying value to determine if there is impairment. The income approach includes assumptions about revenue growth rates, operating margins and terminal growth rates discounted by an estimated weighted-average cost of capital derived from other publicly-traded companies that are similar but not identical from an operational and economic standpoint. The Company completed its annual assessment of goodwill as of June 30, 2017 based on qualitative factors and determined that the fair value of its goodwill exceeded carrying value, and, as a result, no impairment existed at that date. Although no goodwill impairment was noted, there can be no assurances that future goodwill impairments will not occur. As of December 31, 2017, the Company had $267.0 million of goodwill, all of which is expected to be deductible for tax purposes. Long-Lived Assets Other Than Goodwill An evaluation of the recoverability of property and equipment and intangible assets subject to amortization is performed whenever the facts and circumstances indicate that the carrying value may be impaired. An impairment loss is recognized if the future undiscounted cash flows associated with the asset and the estimated fair value of the asset are less than the asset’s corresponding carrying value. The amount of the impairment loss, if any, is the excess of the asset’s carrying value over its estimated fair value. The Company amortizes intangible assets subject to amortization on the basis of their expected periods of benefit, generally three to 20 years. The costs of start-up activities and organization costs are charged to expense as incurred. Hedging and Derivatives Activity The Company periodically uses foreign currency forward contracts, which are considered derivative instruments, to minimize the effects of foreign currency risk in Brazil and the United Kingdom related to the operations of the Company. The forward contracts are not designated as hedges as defined by ASC 815, Derivatives and Hedging; therefore, any changes in the fair value of the forward contracts are recognized in “Foreign currency transaction gain (loss), net” in the consolidated statements of income. See Note 13. Investment in Unconsolidated Investee The Company accounts for its investments in unconsolidated investees in accordance with ASC 325, Investments—Other Investments are recorded on a cost basis. The Company evaluates investments for impairment if an event occurs or circumstances change that would more likely than not reduce the fair value of the investment below carrying value. If an impairment of an investment is determined to be other than temporary, the cost basis of the investment will be reduced and the resulting loss recognized in net income in the period the other-than-temporary-impairment is identified. The Company’s investments in unconsolidated investees are held in “Other assets” on the consolidated balance sheets. As of December 31, 2017, the Company owned a $6.7 million investment in the preferred stock of a privately-held developing financial services entity. The Company’s impairment evaluation of this investment as of December 31, 2017 determined that an impairment loss was not probable as of that date. Marketing Expenses Marketing expenses consist of digital costs, lead purchase costs and offline marketing costs such as television and direct mail advertising. Marketing costs directly related to loan and RPA originations are deferred and amortized against revenue. Marketing costs not directly resulting in loan and RPA originations are expensed as incurred. The production costs associated with offline marketing are expensed as incurred. In 2015 and 2016, the Company also had an agreement with an independent third party pursuant to which the Company paid a portion of the net revenue received from the customers referred to the Company by such third party. Operations and Technology Expenses Operations and technology expenses include all expenses related to the direct operations and technology infrastructure related to loan underwriting and processing. This includes call center and operations personnel costs, software maintenance expense, underwriting data from third-party vendors, bank and transaction fees and telephony costs. General and Administrative Expenses General and Administrative expenses primarily include the Company’s corporate personnel costs, as well as legal, occupancy, and other related costs. Stock-Based Compensation The Company accounts for its stock-based employee compensation plans in accordance with ASC 718, Compensation—Stock Compensation (“ASC 718”) and recognizes compensation expense based on the grant date fair value over the remaining vesting periods for stock-based awards. Under applicable accounting standards, the fair value of share-based compensation is determined at the grant date and the recognition of the related expense is recorded over the period in which the share-based compensation vests. However, with respect to income taxes, the related deduction from taxes payable is based on the award’s intrinsic value at the time of exercise (for an option) or on the fair value upon vesting of the award (for RSUs), which can be either greater (creating an excess tax benefit) or less (creating a tax deficiency) than the deferred tax benefit recognized as compensation cost is recognized in the financial statements. Pursuant to Accounting Standards Update (“ASU”) 2016-09, Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”) Income Taxes The provision for income taxes is based on income before income taxes as reported for financial statement purposes. Deferred income taxes are provided for in accordance with the assets and liability method of accounting for income taxes in order to recognize the tax effects of temporary differences between financial statement and income tax accounting. The Company accounts for uncertainty in income taxes in accordance with ASC 740, Income Taxes (“ASC 740”). ASC 740 requires that a more-likely-than-not threshold (greater than 50 percent) be met before the benefit of a tax position may be recognized in the consolidated financial statements and prescribes how such benefit should be measured. It also provides guidance on recognition adjustment, classification, accrual of interest and penalties, accounting in interim periods, disclosure and transition. The Company records interest and penalties related to tax matters as income tax expense in the consolidated statements of income. The Company performs an evaluation of the recoverability of its deferred tax assets on a quarterly basis. The Company establishes a valuation allowance if it is more likely than not that all or some portion of the deferred tax asset will not be realized. The Company analyzes several factors, including the nature and frequency of operating losses, the Company’s carryforward period for any losses, the reversal of future taxable temporary differences, the expected occurrence of future income or loss and the feasibility of available tax planning strategies to protect against the loss of deferred tax assets. See Note 9 for further discussion. Earnings Per Share Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the year. Diluted earnings per share is calculated by giving effect to the potential dilution that could occur if securities or other contracts to issue common shares were exercised and converted into common shares during the year. Restricted stock units issued under the Company’s stock-based employee compensation plans are included in diluted shares upon the granting of the awards even though the vesting of shares will occur over time. The following table sets forth the reconciliation of numerators and denominators of basic and diluted earnings per share computations for the years ended December 31, 2017 2016 2015 Year Ended December 31, 2017 2016 2015 Numerator: Net income $ 29,240 $ 34,602 $ 43,992 Denominator: Total weighted average basic shares 33,523 33,192 33,006 Shares applicable to stock-based compensation 609 270 20 Total weighted average diluted shares 34,132 33,462 33,026 Earnings per share – basic $ 0.87 $ 1.04 $ 1.33 Earnings per share – diluted $ 0.86 $ 1.03 $ 1.33 For the years ended December 31, 2017, 2016 and 2015, 1,563,975, 1,622,331 and 1,700,296 shares of common stock underlying stock options, respectively, and 182,008, 464,500 and 368,111 shares of common stock underlying restricted stock units, respectively, were excluded from the calculation of diluted net income per share because their effect would have been antidilutive. Adopted In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-09. The amendments in ASU 2016-09 simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. The Company adopted ASU 2016-09 on January 1, 2017. The adoption of ASU 2016-09 did not have a material impact on the Company’s financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Accounting Standards to be Adopted in Future Periods In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In May 2017, the FASB issued ASU 2017-09, Compensation–Stock Compensation (Topic 718): Scope of Modification Accounting In January 2017, the FASB issued ASU 2017-05, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets, Revenue from Contracts with Customers (Topic 606) In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350) – Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU 2017-01 Business Combinations (Topic 805) – Clarifying the Definition of a Business In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230), Restricted Cash Statement of Cash Flows, In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016‑01”), which requires that equity investments, except for those accounted for under the equity method or those that result in consolidation of the investee, be measured at fair value, with subsequent changes in fair value recognized in net income. However, an entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. ASU 2016-01 also impacts the presentation and disclosure requirements for financial instruments. ASU 2016-01 is effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2017. Early adoption is permitted only for certain provisions. The Company does not expect that the adoption of ASU 2016-01 will have a material effect on its consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company will adopt this ASU under the modified-prospective method effective January 1, 2018. The Company has completed its assessment of the guidance and determined its loan and finance receivables are excluded from the scope of ASU 2014-09. As a result of this scope exception, the Company has concluded the impact will not be material to its consolidated financial statements. |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2017 | |
Business Combinations [Abstract] | |
Acquisitions | 2. Acquisitions On June 23, 2015, the Company completed the purchase of certain assets and assumed certain liabilities of a company operating as The Business Backer, LLC, which purchases discounted future accounts receivables from small businesses throughout the United States through RPAs, which provide working capital for small businesses. The total consideration of $26.4 million was comprised of $17.7 million in cash at closing, a $3.0 million promissory note (included in “Accounts payable and accrued expenses” in the consolidated balance sheets) and estimated contingent consideration of $5.7 million based on future earn-out opportunities. The contingent purchase consideration was recorded at its estimated fair value at the date of acquisition based upon the Company’s assessment of the probable earnings attributable to the business as defined in the purchase agreement. To the extent operating results exceed the Company’s estimate, additional contingent consideration would be due, however the total consideration paid may not exceed $71 million. The contingent purchase consideration is revalued each reporting period with changes in fair value of the contingent consideration obligations recognized as a gain or loss on fair value remeasurement in the Company’s consolidated statements of income. The fair value of the contingent purchase consideration was remeasured as of December 31, 2016 in “General and administrative expenses” in the consolidated statements of income |
Loans and Finance Receivables,
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables | 3. Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables Revenue generated from the Company’s loans and finance receivables for the years ended December 31, 2017, 2016 and 2015 was as follows (in thousands): Year Ended December 31, 2017 2016 2015 Short-term loans $ 197,408 $ 196,255 $ 204,893 Line of credit accounts 262,760 220,462 185,521 Installment loans and RPAs 382,683 327,375 260,507 Total loans and finance receivables revenue 842,851 744,092 650,921 Other 890 1,477 1,679 Total Revenue $ 843,741 $ 745,569 $ 652,600 The components of Company-owned loans and finance receivables at December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Current receivables $ 45,552 $ 161,070 $ 537,634 $ 744,256 Delinquent receivables: Delinquent payment amounts (1) — 7,696 3,635 11,331 Receivables on non-accrual status 28,120 1,302 42,740 72,162 Total delinquent receivables 28,120 8,998 46,375 83,493 Total loans and finance receivables, gross 73,672 170,068 584,009 827,749 Less: Allowance for losses (19,917 ) (31,148 ) (71,979 ) (123,044 ) Loans and finance receivables, net $ 53,755 $ 138,920 $ 512,030 $ 704,705 As of December 31, 2016 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Current receivables $ 35,516 $ 130,576 $ 413,638 $ 579,730 Delinquent receivables: Delinquent payment amounts (1) — 4,560 2,110 6,670 Receivables on non-accrual status 27,489 9,047 37,559 74,095 Total delinquent receivables 27,489 13,607 39,669 80,765 Total loans and finance receivables, gross 63,005 144,183 453,307 660,495 Less: Allowance for losses (17,770 ) (26,594 ) (54,581 ) (98,945 ) Loans and finance receivables, net $ 45,235 $ 117,589 $ 398,726 $ 561,550 (1) Represents the delinquent portion of installment loans and line of credit account balances for customers that have only missed one payment. See Note 1 “Significant Accounting Policies-Current and Delinquent Loans and Finance Receivables” for additional information. Changes in the allowance for losses for the Company-owned loans and finance receivables and the liability for estimated losses on the Company’s guarantees of third-party lender-owned loans through the CSO programs for the years ended December 31, 2017, 2016 and 2015 were as follows (in thousands): Year Ended December 31, 2017 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 17,770 $ 26,594 $ 54,581 $ 98,945 Cost of revenue 77,775 93,416 225,179 396,370 Charge-offs (98,243 ) (102,725 ) (254,109 ) (455,077 ) Recoveries 22,089 13,863 45,773 81,725 Effect of foreign currency translation 526 — 555 1,081 Balance at end of period $ 19,917 $ 31,148 $ 71,979 $ 123,044 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,716 $ — $ 280 $ 1,996 Increase (decrease) in liability 389 — (127 ) 262 Balance at end of period $ 2,105 $ — $ 153 $ 2,258 Year Ended December 31, 2016 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 14,652 $ 15,727 $ 36,943 $ 67,322 Cost of revenue 69,202 88,489 170,035 327,726 Charge-offs (85,599 ) (92,044 ) (182,471 ) (360,114 ) Recoveries 20,362 14,422 29,804 64,588 Effect of foreign currency translation (847 ) — 270 (577 ) Balance at end of period $ 17,770 $ 26,594 $ 54,581 $ 98,945 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,298 $ — $ 458 $ 1,756 Increase (decrease) in liability 418 — (178 ) 240 Balance at end of period $ 1,716 $ — $ 280 $ 1,996 Year Ended December 31, 2015 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 14,324 $ 19,749 $ 30,875 $ 64,948 Cost of revenue 62,571 43,547 110,560 216,678 Charge-offs (83,316 ) (68,075 ) (129,537 ) (280,928 ) Recoveries 21,374 20,694 25,585 67,653 Effect of foreign currency translation (301 ) (188 ) (540 ) (1,029 ) Balance at end of period $ 14,652 $ 15,727 $ 36,943 $ 67,322 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,575 $ — $ 1 $ 1,576 (Decrease) increase in liability (277 ) — 457 180 Balance at end of period $ 1,298 $ — $ 458 $ 1,756 In connection with its CSO programs, the Company guarantees consumer loan payment obligations to unrelated third-party lenders for short-term and installment loans and is required to purchase any defaulted loans it has guaranteed. The guarantee represents an obligation to purchase specific loans that go into default. As of December 31, 2017 and 2016, the amount of consumer loans guaranteed by the Company was $34.1 million and $32.2 million, respectively, representing amounts due under consumer loans originated by third-party lenders under the CSO programs. The estimated fair value of the liability for estimated losses on consumer loans guaranteed by the Company of $2.3 million and $2.0 million as of December 31, 2017 and 2016, respectively, is included in “Accounts payable and accrued expenses” in the consolidated balance sheets. |
Property and Equipment
Property and Equipment | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Property and Equipment | 4. Property and Equipment As a leading technology and analytics company, a significant amount of capital is invested in developing computer software and systems infrastructure. Major classifications of property and equipment at December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 Cost Accumulated Depreciation Net Computer software $ 82,757 $ (56,282 ) $ 26,475 Furniture, fixtures and equipment 33,834 (25,912 ) 7,922 Leasehold improvements 25,196 (11,068 ) 14,128 Total $ 141,787 $ (93,262 ) $ 48,525 As of December 31, 2016 Cost Accumulated Depreciation Net Computer software $ 72,277 $ (48,680 ) $ 23,597 Furniture, fixtures and equipment 30,974 (22,159 ) 8,815 Leasehold improvements 24,267 (9,579 ) 14,688 Total $ 127,518 $ (80,418 ) $ 47,100 The Company capitalized internal software development costs of $12.0 million, $8.1 million and $9.8 million during 2017, 2016 and 2015, respectively. The Company recognized depreciation expense of $13.3 million, $14.4 million and $17.9 million during 2017, 2016 and 2015, respectively. |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | 5. Goodwill and Other Intangible Assets Goodwill is tested for impairment at least annually. See Note 1 for further discussion. Goodwill Changes in the carrying value of goodwill for the years ended December 31, 2017 and 2016 were as follows (in thousands): Balance as of January 1, 2016 $ 267,008 Effect of foreign currency translation 2 Balance as of December 31, 2016 $ 267,010 Effect of foreign currency translation 5 Balance as of December 31, 2017 $ 267,015 Acquisitions represent the original goodwill allocation and final adjustments to purchase price allocations during the measurement period subsequent to the acquisition date. The impact of final purchase price allocation adjustments on the Company’s results of operations and financial position were immaterial. Acquired Intangible Assets Acquired intangible assets that are subject to amortization as of December 31, 2017 and 2016, were as follows (in thousands): As of December 31, 2017 Cost Accumulated Amortization Net Customer relationships $ 3,536 $ (3,136 ) $ 400 Lead provider and broker relationships 5,689 (4,089 ) 1,600 Trademarks 2,595 (670 ) 1,925 Non-competition agreements 800 (400 ) 400 Total $ 12,620 $ (8,295 ) $ 4,325 As of December 31, 2016 Cost Accumulated Amortization Net Customer relationships $ 3,533 $ (2,973 ) $ 560 Lead provider and broker relationships 5,689 (3,449 ) 2,240 Trademarks 2,590 (546 ) 2,044 Non-competition agreements 800 (240 ) 560 Total $ 12,612 $ (7,208 ) $ 5,404 Non-competition agreements are amortized over the applicable terms of the contract. Customer, lead provider and broker relationships are generally amortized over three to five years based on the pattern of economic benefits provided. Trademarks are generally amortized over three to 20 years on a straight-line basis. Amortization Amortization expense for acquired intangible assets was $1.1 million, $1.1 million and $0.5 million for the years ended December 31, 2017, 2016 and 2015, respectively. Estimated future amortization expense for the years ended December 31, is as follows (in thousands): Year Amount 2018 $ 1,070 2019 1,070 2020 590 2021 110 2022 110 |
Accounts Payable and Accrued Ex
Accounts Payable and Accrued Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Accounts Payable and Accrued Expenses | 6. Accounts Payable and Accrued Expenses Accounts payable and accrued expenses at December 31, 2017, 2016 were as follows (in thousands): As of December 31, 2017 2016 Trade accounts payable $ 25,579 $ 25,420 Accrued payroll and fringe benefits 14,877 14,165 Accrued interest payable 11,064 5,043 Deferred finish out allowance 7,979 8,939 Deferred fees on third-party consumer loans 7,074 6,869 Accrual for consumer loan payments rejected for non-sufficient funds 5,096 3,680 Promissory note 3,000 3,000 Liability for losses on third-party lender owned consumer loans 2,258 1,996 Contingent consideration — 2,358 Other accrued liabilities 196 201 Total $ 77,123 $ 71,671 |
Marketing Expenses
Marketing Expenses | 12 Months Ended |
Dec. 31, 2017 | |
Marketing Expenses [Abstract] | |
Marketing Expenses | 7. Marketing Expenses Marketing expenses for the years ended December 31, 2017, 2016 and 2015 were as follows (in thousands): Year Ended December 31, 2017 2016 2015 Advertising $ 64,186 $ 66,184 $ 80,526 Customer procurement expense including lead purchase costs 37,224 30,551 29,327 Customer referral and revenue sharing expense 19 669 7,029 Total $ 101,429 $ 97,404 $ 116,882 See Note 1 for further discussion. |
Long-term Debt
Long-term Debt | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Long-term Debt | 8. Long-term debt The Company’s long-term debt instruments and balances outstanding as of December 31, 2017 2016 December 31, 2017 2016 Securitization notes $ 211,406 $ 165,419 9.75% senior notes due 2021 342,558 495,622 8.50% senior notes due 2024 250,000 — Subtotal 803,964 661,041 Less: Long-term debt issuance costs (15,422 ) (11,130 ) Total long-term debt $ 788,542 $ 649,911 8.50% Senior Unsecured Notes Due 2024 On September 1, 2017, the Company issued and sold $250.0 million in aggregate principal amount of 8.50% Senior Notes due 2024 (the “2024 Senior Notes”) . The 2024 Senior Notes are redeemable at the Company’s option, in whole or in part, (i) at any time prior to September 1, 2020 at 100% of the aggregate principal amount of 2024 Senior Notes redeemed plus the applicable “make whole” premium specified in the 2024 Senior Notes Indenture, plus accrued and unpaid interest, if any, to the redemption date and (ii) at any time on or after September 1, 2020 at the premium, if any, specified in the 2024 Senior Notes Indenture that will decrease over time, plus accrued and unpaid interest, if any, to the redemption date. In addition, prior to September 1, 2020, at its option, the Company may redeem up to 40% of the aggregate principal amount of the 2024 Senior Notes at a redemption price of 108.5% of the aggregate principal amount of 2024 Senior Notes redeemed, plus accrued and unpaid interest, if any, to the redemption date, with the proceeds of certain equity offerings as described in the 2024 Senior Notes Indenture. The 2024 Senior Notes and the related guarantees have not been and will not be registered under the Securities Act, or the securities laws of any state or other jurisdiction, and may not be offered or sold in the United States without registration or an applicable exemption from the registration requirements of the Securities Act and applicable state securities or blue sky laws and foreign securities laws. The Company used the net proceeds of the 2024 Senior Notes offering to retire a portion of its outstanding 9.75% senior notes due 2021, to pay the related accrued interest, premiums, fees and expenses associated therewith and for general corporate purposes, which may include working capital and future repurchases of its outstanding debt securities. As of December 31, 2017, the carrying amount of the 2024 Senior Notes was $242.8 million, which included unamortized issuance costs of $7.2 million. The issuance costs are being amortized to interest expense over a period of seven years, through the maturity date of September 1, 2024. For the year ended December 31, 2017 the total interest expense recognized was $7.4 million of which $0.4 million represented the non-cash amortization of the issuance costs. Consumer Loan Securitization 2016-1 Facility On January 15, 2016, the Company and certain of its subsidiaries entered into a receivables securitization (as amended, the “2016-1 Securitization Facility”) with certain purchasers, Jefferies Funding LLC, as administrative agent (the “Administrative Agent”) and Bankers Trust Company, as indenture trustee and securities intermediary (the “Indenture Trustee”). The 2016-1 Securitization Facility securitizes unsecured consumer installment loans (“Receivables”) that have been, or will be, originated or acquired under the Company’s NetCredit brand and that meet specified eligibility criteria. Under the 2016-1 Securitization Facility, Receivables are sold to EFR 2016-1, LLC, a wholly-owned special purpose subsidiary (the “Issuer”), and serviced by another subsidiary. The Issuer issued an initial term note of $107.4 million (the “Initial Term Note”), which was secured by $134 million in unsecured consumer loans, and variable funding notes (the “Variable Funding Notes”) with an aggregate availability of $20 million per month; the 2016-1 Securitization Facility has been amended to increase the availability to $40 million until December 31, 2016, and $30 million thereafter, as discussed below 2016-1 Securitization Facility has been amended to increase the maximum principal amount to $275 million, as discussed below At the end of each month during the nine-month revolving period, the Receivables funded by the Variable Funding Notes have been and will be refinanced through the creation of two Term Notes, which Term Notes have been and will be issued to the holders of the Variable Funding Notes. The non-recourse Securitization Notes mature at various dates, the latest of which will be October 15, 2020 (the “Final Maturity Date”). The Securitization Notes are issued pursuant to an indenture, dated as of January 15, 2016 (the “Closing Date”). The Securitization Notes bear interest at an annual rate equal to the one month London Interbank Offered Rate (“LIBOR”) (subject to a floor of 1%) plus 7.75%, which rate is initially 8.75%. In addition, the Issuer paid certain customary upfront closing fees and will pay customary annual commitment and other fees to the purchasers under the 2016-1 Securitization Facility. The Issuer is permitted to voluntarily prepay any outstanding Securitization Notes, subject to an optional redemption premium. Interest and principal payments on outstanding Securitization Notes will be made monthly. Any remaining amounts outstanding will be payable no later than the Final Maturity Date. The Securitization Notes are supported by the expected cash flows from the underlying Receivables. The holders of the Securitization Notes have no recourse to the Company if the cash flows from the underlying Receivables are not sufficient to pay all of the principal and interest on the Securitization Notes. Additionally, the Receivables will be held by the Issuer at least until the obligations under the Securitization Notes are extinguished. For so long as they are held by the Issuer, the outstanding Receivables will not be available to satisfy the debts and other obligations of the Company. All amounts due under the Securitization Notes are secured by all of the Issuer’s assets, which include the Receivables transferred to the Issuer, related rights under the Receivables, specified bank accounts, and certain other related collateral. The 2016-1 Securitization Facility documents contain customary provisions for securitizations, including: representations and warranties as to the eligibility of the Receivables and other matters; indemnification for specified losses not including losses due to the inability of consumers to repay their loans; covenants regarding special purpose entity matters and other subjects; and default and termination provisions which provide for the acceleration of the Securitization Notes under the 2016-1 Securitization Facility in circumstances including, but not limited to, failure to make payments when due, servicer defaults, certain insolvency events, breaches of representations, warranties or covenants, failure to maintain the security interest in the receivables, defaults under other material indebtedness and certain regulatory matters. On July 26, 2016, the Company and certain of its subsidiaries entered into a First Omnibus Amendment (the “First Amendment”) of the 2016-1 Facility that was established on the Closing Date, pursuant to various agreements with certain purchasers, the Administrative Agent and the Indenture Trustee. The agreements evidencing the 2016-1 Facility, all dated as of the Closing Date, include (i) an Indenture between the Issuer and the Indenture Trustee, (ii) a Note Purchase Agreement among the Issuer, NetCredit Loan Services, LLC (f/k/a Enova Lending Services, LLC), as the Master Servicer, the Administrative Agent and certain purchasers, and (iii) a Receivables Purchase Agreement between the Company and Enova Finance 5, LLC. The First Amendment effected a variety of minor technical changes to the Indenture, the Note Purchase Agreement, the Receivables Purchase Agreement and the servicing agreement for the 2016-1 Facility. These changes include revised procedures under the Note Purchase Agreement for the disbursement to the Issuer of proceeds from draws under the Variable Funding Notes and clarification of modifications that the servicer is permitted to effect to the terms of consumer installment loans that have been transferred into the EFR 2016-1 Facility. On August 17, 2016, the Company and one of its subsidiaries entered into an Amendment to the Receivables Purchase Agreement. This amendment modified an eligibility criterion for receivables that the Company sells under the Agreement. On September 12, 2016, the Company and certain of its subsidiaries entered into a Second Omnibus Amendment (the “Second Amendment”) to amend the Indenture and Receivables Purchase Agreement. The Second Amendment authorized the Company to include in the 2016-1 Facility receivables originated by a state-chartered bank and acquired by a subsidiary of the Company from that bank, and it adjusted the Investment Pool Cumulative Net Loss Trigger for the Initial Term Note Investment Pool (as such terms are defined in the Indenture), which was the seasoned pool of receivables securitized under the 2016-1 Facility on the Closing Date. On October 20, 2016, the Company and certain of its subsidiaries entered into a and Receivables Purchase Agreement. (as such terms are defined in the Indenture) On November 14, 2016, the Company and certain of its subsidiaries entered into a and Receivables Purchase Agreement On December 14, 2016, the Company and certain of its subsidiaries entered into a Fifth Amendment (the “Fifth Amendment”) to amend the Indenture and Receivables Purchase Agreement. The Fifth Amendment adjusted the Investment Pool Cumulative Delinquency Trigger for the Initial Term Notes (as such terms are defined in the Indenture), with an effective date of November 30, 2016, expanded the categories of receivables that could be financed through the securitization facility and made certain other minor changes. These changes provide the Company with additional flexibility under the securitization facility. On October 20, 2017 (the “Amendment Closing Date”), the Company and certain of its subsidiaries amended and restated the 2016‑1 Securitization Facility (the “Amended Facility”). The counterparties to the Amended Facility included certain purchasers, the Administrative Agent and the Indenture Trustee. The Amended Facility relates to Receivables that have been and will be originated or acquired under the Company’s NetCredit brand by the Originators and that meet specified eligibility criteria. The eligible Receivables that were owned by the Issuer remained in the Amended Facility and the ineligible Receivables were removed. Under the Amended Facility, additional eligible Receivables may be sold to the Issuer and serviced by another subsidiary of the Company. As of the Amendment Closing Date, the Issuer owned eligible Receivables with an outstanding principal balance equal to $226.4 million. In connection with the amendment and restatement, all of the outstanding notes issued by the Issuer prior to the Amendment Closing Date were redeemed and the Issuer issued an initial term note with an initial principal amount of $181.1 million (the “2017 Initial Term Note”) and variable funding notes (the “2017 Variable Funding Notes”) with an aggregate committed availability of $75 million per quarter with an option to increase the commitment to $90 million with the consent of the holders of the 2017 Variable Funding Notes. As described below, the Issuer will subsequently issue term notes (the “2017 Term Notes” and, together with the 2017 Initial Term Note and the 2017 Variable Funding Notes the “2017 Securitization Notes”) at the end of each calendar quarter. The maximum principal amount of the 2017 Securitization Notes that may be outstanding at any time under the Amended Facility is $275 million. On each of January 2, 2018, April 2, 2018, July 2, 2018, October 1, 2018, December 31, 2018 and April 1, 2019, the Receivables financed under the 2017 Variable Funding Notes will be allocated to a 2017 Term Note, which 2017 Term Note will be issued to the holders of the 2017 Variable Funding Notes and the 2017 Variable Funding Note on such date will be reduced to zero. The 2017 Securitization Notes are non-recourse to the Company and mature at various dates, the latest of which will be April 15, 2022 (the “2017 Final Maturity Date”). The 2017 Securitization Notes are issued pursuant to an amended and restated indenture, dated as of the Amendment Closing Date, between the Issuer and the Indenture Trustee. The 2017 Securitization Notes bear interest at a rate per annum equal to One-Month LIBOR (subject to a floor) plus 7.50%. In addition, the Issuer paid certain customary upfront closing fees to the Administrative Agent and will pay customary annual commitment and other fees to the purchasers under the Amended Facility. Subject to certain exceptions, the Issuer is not permitted to prepay or redeem any of the 2017 Securitization Notes prior to April 15, 2019 except for a one-time prepayment of the 2017 Securitization Notes related to a removal of Receivables in an amount no greater than $100 million. Following such date, the Issuer is permitted to voluntarily prepay any of the 2017 Securitization Notes, subject to an optional redemption premium. Interest and principal payments on the 2017 Securitization Notes will be made monthly. Any remaining amounts outstanding will be payable no later than the 2017 Final Maturity Date. All amounts due under the 2017 Securitization Notes are secured by all of the Issuer’s assets, which include the Receivables transferred to the Issuer, related rights under the Receivables, specified bank accounts and certain other related collateral. The Amended Facility documents contain customary provisions for securitizations, including: representations and warranties as to the eligibility of the Receivables and other matters; indemnification for specified losses not including losses due to the inability of consumers to repay their loans; covenants regarding special purpose entity matters and other subjects; and default and termination provisions which provide for the acceleration of the 2017 Securitization Notes under the Amended Facility in circumstances including, but not limited to, failure to make payments when due, servicer defaults, certain insolvency events, breaches of representations, warranties or covenants, failure to maintain the security interest in the receivables, and defaults under other material indebtedness. On October 25, 2017, the Issuer and the Indenture Trustee amended the Amended Facility to permit a holder of a 2017 Term Note or the 2017 Initial Term Note to exchange such notes for notes with an alternative structure with terms not materially different to the Issuer than the exchanged Term Notes or Initial Term Notes. As of December 31, 2017, the carrying amount of the Amended Facility was $193.0 million, which included unamortized issuance costs of $3.3 million. The issuance costs are being amortized to interest expense over a period of three years. The total interest expense recognized related to the 2016-1 Securitization facility and the Amended Facility was $16.6 million, of which $2.1 million represented the non-cash amortization of the issuance costs, and $13.5 million, of which $3.2 million represented the non-cash amortization of the issuance costs for the years ended December 31, 2017 and 2016, respectively. 2016-2 Facility On December 1, 2016, the Company and certain of its subsidiaries entered into a receivables securitization (the “2016-2 Facility”) with Redpoint Capital Asset Funding, LLC, as lender (the “Lender”). The 2016-2 Facility securitizes unsecured consumer installment loans (“Redpoint Receivables”) that have been and will be originated or acquired under the Company’s NetCredit brand by several of the Company’s subsidiaries (the “Originators”) and that meet specified eligibility criteria, including that the annual percentage rate for each securitized consumer loan is greater than or equal to 90%. The average annual percentage rate for loans securitized under the 2016-2 Facility in 2016 was approximately 135%. Under the 2016-2 Facility, Redpoint Receivables are sold to a wholly-owned special purpose subsidiary of the Company (the “Debtor”) and serviced by another subsidiary of the Company. The Debtor has issued a revolving note with an initial maximum principal balance of $20.0 million (the “Initial Facility Size”), which is required to be secured by $25.0 million in unsecured consumer loans. The Initial Facility Size may be increased under the 2016-2 Facility to $40 million. The 2016-2 Facility is non-recourse to the Company and matures on December 1, 2019. The 2016-2 Facility is governed by a loan and security agreement, dated as of December 1, 2016, between the Lender and the Debtor. The 2016-2 Facility bears interest at a rate per annum equal to LIBOR (subject to a floor) plus an applicable margin, which rate per annum is initially 12.50%. In addition, the Debtor paid certain customary upfront closing fees to the Lender. Interest payments on the 2016-2 Facility will be made monthly. Subject to certain exceptions, the Debtor is not permitted to prepay the 2016-2 Facility prior to October 1, 2018. Following such date, the Debtor is permitted to voluntarily prepay the 2016-2 Facility without penalty. Any remaining amounts outstanding will be payable no later than December 1, 2019. All amounts due under the 2016-2 Facility are secured by all of the Debtor’s assets, which include the Redpoint Receivables transferred to the Debtor, related rights under the Redpoint Receivables, a bank account and certain other related collateral. The 2016-2 Facility documents contain customary provisions for securitizations, including: representations and warranties as to the eligibility of the Redpoint Receivables and other matters; indemnification for specified losses not including losses due to the inability of consumers to repay their loans; covenants regarding special purpose entity matters; and default and termination provisions which provide for the acceleration of the 2016-2 Facility in circumstances including, but not limited to, failure to make payments when due, servicer defaults, certain insolvency events, breaches of representations, warranties or covenants, failure to maintain the security interest in the receivables and defaults under other material indebtedness of the Debtor. As of December 31, 2017 and 2016, the carrying amount of the 2016-2 Facility was $15.1 million and $12.1 million, respectively. In connection with the issuance of the 2016-2 Facility, the Company incurred debt issuance costs of approximately $0.2 million. The unamortized balance of these costs as of December 31, 2017 is included in “Other assets” in the consolidated balance sheets. These costs are being amortized to interest expense over a period of 36 months, the term of the 2016-2 Facility. The total interest expense recognized was $1.9 million and $0.1 million for the years ended December 31, 2017 and 2016, respectively. Revolving Credit Facilities 2017 Credit Agreement On June 30, 2017, the Company and certain of its operating subsidiaries entered into a secured revolving credit agreement with a syndicate of banks including TBK Bank, SSB (“TBK”), as Administrative Agent and Collateral Agent, Jefferies Finance LLC and TBK as Joint Lead Arrangers and Joint Lead Bookrunners, and Green Bank, N.A., as Lender (the “2017 Credit Agreement”). The 2017 Credit Agreement is secured by domestic receivables and replaced the 2014 Credit Agreement (as described below). The borrowing limit in the 2017 Credit Agreement increased to $40 million from $35 million in the 2014 Credit Agreement, and its maturity date is May 1, 2020. The Company had no borrowings outstanding under the 2017 Credit Agreement as of December 31, 2017. The 2017 Credit Agreement provides for a revolving credit line with interest on borrowings under the facility at prime rate plus 1.00%. In addition, the 2017 Credit Agreement provides for payment of a commitment fee calculated with respect to the unused portion of the line, and ranges from 0.30% per annum to 0.50% per annum depending on usage. A portion of the revolving credit facility, up to a maximum of $20 million, is available for the issuance of letters of credit. The Company had outstanding letters of credit under the 2017 Credit Agreement of $8.0 million as of December 31, 2017. The 2017 Credit Agreement provides for certain prepayment penalties if it is terminated on or before its first and second anniversary date, subject to certain exceptions. The 2017 Credit Agreement contains certain limitations on the incurrence of additional indebtedness, investments, the attachment of liens to the Company’s property, the amount of dividends and other distributions, fundamental changes to the Company or its business and certain other activities of the Company. The 2017 Credit Agreement contains standard financial covenants for a facility of this type based on a leverage ratio and a fixed charge coverage ratio. The 2017 Credit Agreement also provides for customary affirmative covenants, including financial reporting requirements, and certain events of default, including payment defaults, covenant defaults and other customary defaults. In connection with the issuance of the 2017 Credit Agreement, as amended, the Company incurred debt issuance costs of approximately $2.2 million, which primarily consisted of underwriting fees and legal expenses. The unamortized balance of these costs as of December 31, 2017 2014 Credit Agreement On May 14, 2014, the Company and its domestic subsidiaries as guarantors entered into a credit agreement among the Company, the guarantors, Jefferies Finance LLC as administrative agent and Jefferies Group LLC as lender (the “2014 Credit Agreement”). The 2014 Credit Agreement provided for an unsecured revolving credit facility of up to $75.0 million, including a multi-currency sub-facility that gives the Company the ability to borrow up to $25.0 million that may be specified in foreign currencies subject to the terms and conditions of the 2014 Credit Agreement. On March 25, 2015, an amendment to the 2014 Credit Agreement reduced the Company’s unsecured revolving line of credit to $65.0 million (from $75.0 million) and increased an additional senior secured indebtedness basket to the greater of $20.0 million or 2.75% of consolidated total assets (as defined in the credit agreement) (from $15.0 million or 2% of consolidated total assets). In addition, the March 25, 2015 amendment revised certain definitions and provisions relating to limitations on indebtedness, investments, dispositions, fundamental changes and burdensome agreements to allow certain of the Company’s foreign subsidiaries, which opt to become guarantors of its obligations under the credit agreement, to be treated as domestic subsidiaries for purposes of those provisions. On November 5, 2015 the Company and certain of its domestic subsidiaries, as guarantors, entered into an amendment to the 2014 Credit Agreement, which further reduced the Company’s unsecured revolving line of credit to $60.0 million (from $65.0 million) and increased the maximum allowable leverage ratio as defined in the 2014 Credit Agreement to 3.75 to 1.00 (from 3.00 to 1.00) solely for the fiscal quarters ending December 31, 2015 and March 31, 2016. In addition, the November 5, 2015 amendment (i) revised certain definitions and provisions to clarify the treatment of securitization subsidiaries as defined in the credit, and (ii) clarified the treatment of operating leases under the credit agreement in light of contemplated changes to accounting treatment concerning such operating leases. On December 29, 2015, the Company and certain of its domestic subsidiaries, as guarantors, entered into an amendment to the 2014 Credit Agreement, which temporarily increased the Company’s revolving line of credit to $75 million, an increase of $15.0 million ($5.0 million on December 29, 2015 and $10.0 million on January 4, 2016). Once the Company received the proceeds from the consumer loan securitization financing in January 2016, it repaid the outstanding balance on the revolving line of credit in full and, in accordance with the terms of the amendment, the revolving commitment amount was reduced to $40.0 million. On June 30, 2016, the Company and certain of its domestic subsidiaries, as guarantors, entered into a fourth amendment to the 2014 Credit Agreement, which increased the maximum allowable leverage ratio (as defined in the credit agreement) for the fiscal quarter ended June 30, 2016 to 4.00 to 1.00 (from 3.00 to 1.00) and for the fiscal quarters ended September 30, 2016 and December 31, 2016 to 3.50 to 1.00 (in each case, from 3.00 to 1.00). On September 30, 2016, the Company and certain of its domestic subsidiaries, as guarantors, entered into a fifth amendment to the 2014 Credit Agreement, which increased the maximum allowable leverage ratio (as defined in the credit agreement) for the fiscal quarters ended September 30, 2016 and thereafter to 4.25 to 1.00 (from 3.50 to 1.00) and decreased the Company’s unsecured revolving line of credit by $5.0 million from $40.0 million to $35.0 million. Interest on the amounts borrowed was charged, at the Company’s option, at either LIBOR for one week or one-, two-, three- or six-month periods, as selected by the Company, plus a margin varying from 2.50% to 3.75% or at the agent’s base rate plus a margin varying from 1.50% to 2.75%. The margin for the borrowings under the 2014 Credit Agreement was dependent on the Company’s cash flow leverage ratios. The weighted average interest rate (including margin) on the revolving line of credit was 4.18% at December 31, 2016. The Company was also required to pay a fee on the unused portion of the line of credit ranging from 0.25% to 0.50% (0.50% as of December 31, 2016) based on the Company’s cash flow leverage ratios. The 2014 Credit Agreement matured on June 30, 2017. The Company had no outstanding borrowings under the 2014 Credit Agreement as of December 31, 2016. The 2014 Credit Agreement also included a sub-limit of up to $20.0 million for standby or commercial letters of credit that was guaranteed by the Company’s domestic subsidiaries. In the event that an amount was paid by the issuing bank under a letter of credit, it was due and payable by the Company on demand. Pursuant to the terms of the 2014 Credit Agreement, the Company agreed to pay fees equal to the LIBOR margin per annum on the undrawn amount of each outstanding standby letter of credit plus a one-time commercial letter of credit fee of 0.20% of the face amount of each commercial letter of credit plus 0.25% per annum on the average daily amount of the total letter of credit exposure. The Company had outstanding letters of credit of $6.6 million under its 2014 Credit Agreement as of December 31, 2016. In connection with the issuance of the 2014 Credit Agreement, the Company incurred debt issuance costs of approximately $1.6 million, which primarily consisted of underwriting fees and legal expenses. The unamortized balance of these costs were included in “Other assets” in the consolidated balance sheets. These costs were amortized to interest expense over a period of 37 months, the term of the 2014 Credit Agreement. $500.0 Million 9.75% Senior Unsecured Notes On May 30, 2014, the Company issued and sold $500.0 million in aggregate principal amount of 9.75% Senior Notes due 2021 (the “2021 Senior Notes”). The 2021 Senior Notes bear interest at a rate of 9.75% annually on the principal amount payable semi-annually in arrears on June 1 and December 1 of each year, beginning on December 1, 2014. The 2021 Senior Notes were sold at a discount of the principal amount to yield 10.0% to maturity and will mature on June 1, 2021. The 2021 Senior Notes are unsecured debt obligations of the Company, and are unconditionally guaranteed by all of the Company’s domestic subsidiaries, except for designated securitization subsidiaries. The 2021 Senior Notes were sold to qualified institutional buyers in accordance with Rule 144A under the Securities Act, and outside the United States pursuant to Regulation S under the Securities Act. As required by a registration rights agreement that the Company entered into with the initial purchaser when the 2021 Senior Notes were issued, the Company completed an exchange offer in April 2015. All of the unregistered 2021 Senior Notes have been exchanged for identical new notes registered under the Securities Act. The 2021 Senior Notes are governed by an indenture (the “2021 Senior Notes Indenture”), dated May 30, 2014, between the Company, the Company’s domestic subsidiaries, as guarantors, and the trustee. The 2021 Senior Notes Indenture contains certain covenants that, among other things, limit the Company’s, and certain of its subsidiaries’, ability to incur additional debt, acquire or create new subsidiaries, create liens, engage in certain transactions with affiliates and consolidate or merge with or into other companies. The 2021 Senior Notes Indenture provides for customary events of default, including non-payment and failure to comply with covenants or other agreements in the 2021 Senior Notes Indenture. The 2021 Senior Notes are redeemable at the Company’s option, in whole or in part, (i) at any time prior to June 1, 2017 at 100% of the aggregate principal amount of 2021 Senior Notes redeemed plus the applicable “make whole” redemption price specified in the 2021 Senior Notes Indenture, plus accrued and unpaid interest, if any, to the redemption date and (ii) at any time on or after June 1, 2017 at a premium specified in the 2021 Senior Notes Indenture that will decrease over time, plus accrued and unpaid interest, if any, to the redemption date. In addition, prior to June 1, 2017, at its option, the Company may redeem up to 35% of the aggregate principal amount of the 2021 Senior Notes at a redemption price equal to 109.75% of the principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date, with the proceeds of certain equity offerings as described in the 2021 Senior Notes Indenture. If a change of control occurs, as that term is defined in the 2021 Senior Notes Indenture, the holders of the 2021 Senior Notes will have the right, subject to certain conditions, to require the Company to repurchase their 2021 Senior Notes at a purchase price equal to 101% of the aggregate principal amount, plus accrued and unpaid interest, if any, as of the date of repurchase. The Spin-off did not constitute a change of control under the 2021 Senior Notes Indenture. The Company used all of the net proceeds of the 2021 Senior Notes offering, or $479.0 million, to repay all of its intercompany indebtedness due to Cash America, which was $361.4 million as of May 30, 2014, and the remaining net proceeds were used to pay a significant portion of the $122.4 million in cash dividends to Cash America. During the year ended December 31, 2017 the Company repurchased $155.0 million principal amount of the 2021 Senior Notes for aggregate cash consideration of $166.3 million plus accrued interest. In connection with these purchases, the Company recorded a loss on extinguishment of debt of approximately $14.9 million ($9.2 million net of tax), which is included in “Loss on early extinguishment of debt” in the consolidated statements of income. As of December 31, 2017 and 2016, the carrying amount of the 2021 Senior Notes was $337.6 million and $486.4 million, respectively, which included an unamortized discount of $2.4 million and $4.4 million, respectively and unamortized issuance costs of $4.9 million and $9.3 million, respectively. The discount and issuance costs are being amortized to interest expense over a period of seven years, through the maturity date of June 1, 2021. For the years ended December 31, 2017 and 2016 the total interest expense recognized was $46.9 million, of which $0.8 million represented the non-cash amortization of the discount and $1.9 million represented the non-cash amortization of the issuance costs, and $51.6 million of which $0.7 million represented the non-cash amortization of the discount and $2.1 million represented the non-cash amortization of the issuance costs, respectively. Weighted-average interest rates on long-term debt were 10.63% and 10.71% during 2017 and 2016, respectively. As of December 31, 2017 and 2016, the Company was in compliance with all covenants and other requirements s |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | 9. Income Taxes The components of the Company’s deferred tax assets and liabilities as of December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 2016 Deferred tax assets: Loans and finance receivables, net $ 27,444 $ 38,275 Compensation and benefits 4,423 7,397 Translation adjustments 2,531 6,726 Accrued rent and deferred finish out allowance 2,786 4,372 Foreign net operating loss carryforward 2,164 1,449 Other 1,441 1,960 Total deferred tax assets $ 40,789 $ 60,179 Deferred tax liabilities: Amortizable intangible assets $ 42,334 $ 60,762 Property and equipment 7,760 11,443 Other 153 483 Total deferred tax liabilities $ 50,247 $ 72,688 Net deferred tax liabilities before valuation allowance $ (9,458 ) $ (12,509 ) Valuation allowance (2,650 ) (1,807 ) Net deferred tax liabilities $ (12,108 ) $ (14,316 ) The components of the provision for income taxes and the income to which it relates for the years ended December 31, 2017, 2016 and 2015 are shown below (in thousands): Year Ended December 31, 2017 2016 2015 Income before income taxes: Domestic $ 37,900 $ 57,422 $ 70,519 International — 14 — Income before income taxes $ 37,900 $ 57,436 $ 70,519 Current provision (benefit): Federal $ 11,366 $ 22,656 $ 25,601 International (3 ) 94 114 State and local 2,045 2,347 2,211 Total current provision for income taxes $ 13,408 $ 25,097 $ 27,926 Deferred benefit: Federal $ (4,461 ) $ (2,152 ) $ (1,360 ) International — — — State and local (287 ) (111 ) (39 ) Total deferred benefit for income taxes $ (4,748 ) $ (2,263 ) $ (1,399 ) Total provision for income taxes $ 8,660 $ 22,834 $ 26,527 The effective tax rate on income differs from the federal statutory rate of 35% for the following reasons (dollars in thousands): Year Ended December 31, 2017 2016 2015 Tax provision computed at the federal statutory income tax rate $ 13,265 $ 20,103 $ 24,682 Deferred tax impact of tax reform (7,491 ) — — State and local income taxes, net of federal tax benefits 1,440 1,401 1,408 Share based compensation (1,005 ) 1,656 — Foreign exchange gain 724 — — Other 1,727 (326 ) 437 Total provision $ 8,660 $ 22,834 $ 26,527 Effective tax rate 22.9 % 39.8 % 37.6 % On December 22, 2017, the Tax Cuts and Jobs Acts was enacted into law. The new tax legislation contains several key tax provisions including the reduction of the corporate income tax rate to 21% effective January 1, 2018 as well as a variety of other changes including the acceleration of expensing of certain business assets and reductions in the amount of executive pay that could qualify as a tax deduction. The Company has recorded an estimated net tax benefit of $7.5 million from the remeasurement of deferred tax assets and liabilities at lower enacted corporate tax rates. ASC 740 requires the Company to recognize the effect of the tax law changes in the period of enactment. Adjustments to deferred tax expense could arise when deferred taxes are trued-up to the amounts reported on the tax returns through the return-to-provision process. In addition, the legislation is unclear in many respects and could be subject to potential amendments and technical corrections, as well as interpretations and implementing regulations by the Treasury and Internal Revenue Service (“IRS”), any of which could affect the estimates included in the provision. In addition, it is unclear how these U.S. federal income tax changes will affect state and local taxation, which often uses federal taxable income as a starting point for computing state and local tax liabilities. If any adjustment is required, it will be reflected as an additional expense or benefit in the 2018 financial statements, as allowed by SEC Staff Accounting Bulletin No. 118. The Company has gross foreign net operating loss carryforwards from Brazilian operations of $10.7 million as of December 31, 2017, $4.3 million as of December 31, 2016, and $2.8 million as of December 31, 2015. These net operating loss carryforwards are subject to annual limitations and have an unlimited carryforward period. The Company has recorded a full valuation allowance related to the foreign net operating loss carryforwards, as well as other foreign deferred tax assets, as they are not more likely than not to be utilized. The following table summarizes the valuation account activity for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Balance at beginning of period $ 1,807 $ 1,220 $ 670 Additions 843 587 550 Deductions — — — Balance at end of period $ 2,650 $ 1,807 $ 1,220 A reconciliation of the activity related to unrecognized tax benefits follows for the fiscal years indicated (in thousands): Year Ended December 31, 2017 2016 Balance at beginning of period $ 351 $ — Additions based on tax positions related to the current year 229 118 Additions for tax positions of prior years 147 233 Balance at end of period $ 727 $ 351 The Company does not believe it is reasonably possible that, within the next twelve months, unrecognized domestic tax benefits will change by a significant amount. The Company recorded no expense for interest and penalties related to tax matters as of December 31, 2017. The Company’s U.S. tax returns are subject to examination by federal and state taxing authorities. The IRS audits for tax years 2011 through 2014 were concluded with no adjustments to the financial statements. The 2015 and 2016 tax years are open to examination by the IRS. The years open to examination by state, local, and foreign government authorities vary by jurisdiction, but the statute of limitation is generally three years from the date the tax return is filed. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | 10. Commitments and Contingencies Leases The Company leases its headquarters in Chicago, Illinois, a call center facility in Gurnee, Illinois, and office space in Blue Ash, Ohio and London, United Kingdom under operating leases with remaining terms ranging from two to ten years with certain rights to extend for additional periods. The operating expenses and real estate taxes are not included in the table below. Future minimum rentals due under non-cancelable leases as of December 31, 2017 are as follows for each of the years ending December 31 (in thousands): Year Amount 2018 $ 6,020 2019 6,875 2020 6,719 2021 6,922 2022 6,970 Thereafter 30,378 Total $ 63,884 Rent expense was $5.2 million, $5.8 million and $6.8 million for the years ended December 31, 2017, 2016 or 2015, respectively. Headquarters Relocation The Company provided notice in the second quarter of 2014 to the landlord at 200 W. Jackson Boulevard in Chicago, Illinois that it was accelerating the lease expiration date for approximately 86,000 rentable square feet effective June 30, 2015. In July 2014, the Company entered into a lease agreement for its current headquarters office space at 175 W. Jackson Boulevard in Chicago as part of its plans to relocate from its former headquarters. In the second quarter of 2015, the Company ceased using the 200 W. Jackson location and, as a result, recognized additional expense of $3.7 million for the year ended December 31, 2015, which was included as “General and administrative expense” and consisted of a lease exit liability of $2.9 million for the remaining lease payments, net of estimated sublease income of $1.7 million, and $0.8 million for the removal of property and restoration costs related to the 200 W. Jackson lease. The Company did not incur further material costs related to the relocation. The following table is a summary of the exit and disposal activity and liability balances as a result of the headquarters relocation (in thousands): Lease Termination Costs Other Exit Costs Total Balance at January 1, 2016 $ 1,425 $ 204 $ 1,629 Payments (1,132 ) — (1,132 ) Adjustments 344 (69 ) 275 Balance at December 31, 2016 $ 637 $ 135 $ 772 Balance at January 1, 2017 $ 637 $ 135 $ 772 Payments (554 ) (9 ) (563 ) Adjustments (83 ) (126 ) (209 ) Balance at December 31, 2017 $ — $ — $ — Guarantees of Consumer Loans In connection with its CSO programs, the Company guarantees consumer loan payment obligations to unrelated third-party lenders for short-term and installment loans and is required to purchase any defaulted loans it has guaranteed. As of December 31, 2017 and 2016, the amount of consumer loans guaranteed by the Company was $34.1 million and $32.2 million, respectively, representing amounts due under consumer loans originated by third-party lenders under the CSO programs. The estimated fair value of the liability for estimated losses on consumer loans guaranteed by the Company of $2.3 million and $2.0 million, as of December 31, 2017 and 2016, respectively, is included in “Accounts payable and accrued expenses” in the accompanying consolidated balance sheets. Litigation On March 8, 2013, Flemming Kristensen, on behalf of himself and others similarly situated, filed a purported class action lawsuit in the U.S. District Court of Nevada against the Company and other unaffiliated lenders and lead providers. The lawsuit alleges that the lead provider defendants sent unauthorized text messages to consumers on behalf of the Company and the other lender defendants in violation of the Telephone Consumer Protection Act. The complaint seeks class certification, statutory damages, an injunction against “wireless spam activities,” and attorneys’ fees and costs. The Company filed an answer to the complaint denying all liability. On March 26, 2014, the Court granted class certification. On July 20, 2015, the court granted the Company’s motion for summary judgment, denied Plaintiff’s motion for summary judgment and, on July 21, 2015, entered judgment in favor of the Company. Plaintiff filed a motion for reconsideration, which was denied. On May 3, 2016, Plaintiff filed a notice of appeal of the order granting summary judgment for the Company, the judgment in favor of the company, and the order denying Plaintiff’s motion to reconsider. On January 10, 2018, the Ninth Circuit filed an opinion affirming the district court's entry of summary judgment for us and the other defendants. The plaintiff has 90 days from the date of the opinion (until April 10, 2018) to petition the United States Supreme Court to review the matter. Neither the likelihood of an unfavorable appellate decision nor the ultimate liability, if any, with respect to this matter can be determined at this time, and the Company is currently unable to estimate a range of reasonably possible losses, as defined by ASC 450-20-20, Contingencies–Loss Contingencies–Glossary, for this litigation. The Company believes that the Plaintiff’s claims in the complaint are without merit and intends to vigorously defend this lawsuit. The Company is also a defendant in certain routine litigation matters encountered in the ordinary course of its business. Certain of these matters may be covered to an extent by insurance. In the opinion of management, the resolution of these matters will not have a material adverse effect on the Company’s financial position, results of operations or liquidity. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Employee Benefit Plans | 11. Employee Benefit Plans The Company sponsors the Enova International, Inc. 401(k) Savings Plan (the “401(k) Plan”), which is open to all U.S. employees of the Company and its subsidiaries. New employees are automatically enrolled in this plan unless they elect not to participate. Prior to January 1, 2015, the Company made matching cash contributions of 50% of each participant’s contributions, based on participant contributions of up to 5% of compensation. Effective January 1, 2015, t Company contributions made prior to January 1, 2015 vest at the rate of 20% each year after one year of service; thus a participant is 100% vested after five years of service. subsequent to January 1, 2015 The Company sponsors the Enova International, Inc. Supplemental Executive Retirement Plan (“SERP”) in which certain officers and certain other employees of the Company participate. Under this defined contribution plan, the Company makes an annual supplemental cash contribution to the SERP based on the objectives of the plan as approved by the Company’s Management Development and Compensation Committee of the Board of Directors. The Company recorded compensation expense of $0.5 million, $0.2 million and $0.4 million for SERP contributions for the years ended December 31, 2017, 2016 and 2015, respectively. The NQSP and the SERP are non-qualified deferred compensation plans. Benefits under the NQSP and the SERP are unfunded. As of December 31, 2017, 2016 and 2015, the Company held securities in rabbi trusts to pay benefits under these plans. These securities are classified as trading securities, and the unrealized gains and losses on these securities are netted with the costs of the plans in “General and administrative expenses” in the consolidated statements of income. Amounts included in the consolidated balance sheets relating to the NQSP and the SERP were as follows (in thousands): As of December 31, 2017 2016 Prepaid expenses and other assets $ 1,460 $ 1,590 Accounts payable and accrued expenses $ 1,993 $ 1,860 |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2017 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Stock-Based Compensation | 12. Stock-Based Compensation Enova Awards Under the Enova International, Inc. 2014 First Amended and Restated Long-Term Incentive Plan (the “Enova LTIP”), the Company is authorized to issue 8,000,000 shares of Common Stock pursuant to “Awards” granted as incentive stock options (intended to qualify under Section 422 of the Internal Revenue Code of 1986, as amended), nonqualified stock options, restricted stock units (“RSUs”), restricted stock, performance shares, stock appreciation rights or other stock-based awards. Since 2014, nonqualified stock options and RSU awards are the only stock-based awards granted under the Plan. As of December 31, 2017, there were 2,924,099 shares available for future grants under the Enova LTIP. During the year ended December 31, 2017, the Company received 102,253 shares of its common stock valued at approximately $1.5 million as partial payment of taxes required to be withheld upon issuance of shares under RSUs. Restricted Stock Units During the years ended December 31, 2017 2016 and 2015 In accordance with ASC 718, the grant date fair value of RSUs is generally based on the Company’s closing stock price on the day before the grant date and is amortized to expense over the vesting periods. The agreements relating to awards provide that the vesting and payment of awards would be accelerated if there is a change in control of the Company. The following table summarizes the Company’s restricted stock unit activity during 2017, 2016 2015 Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 Units Weighted Average Fair Value at Date of Grant Units Weighted Average Fair Value at Date of Grant Units Weighted Average Fair Value at Date of Grant Outstanding at beginning of year 1,359,057 $ 9.49 641,878 $ 20.55 549,707 $ 23.04 Units granted 763,727 14.70 1,189,136 6.67 356,064 18.39 Shares issued (563,689 ) 9.68 (213,437 ) 19.65 (151,088 ) 22.62 Units forfeited (133,212 ) 11.62 (258,520 ) 15.65 (112,805 ) 23.04 Outstanding at end of year 1,425,883 $ 12.00 1,359,057 $ 9.49 641,878 $ 20.55 Compensation expense related to these RSUs totaling $7.3 million ($5.6 million net of related taxes), $5.2 million ($3.1 million net of related taxes) and $4.9 million ($3.1 million net of related taxes) was recognized for the years ended December 31, 2017 2016 2015 2017 2017 On May 21, 2015, in connection with the resignation of a certain executive, the Company entered into an employment agreement pursuant to which the executive would become vested on January 1, 2016 in 50% of his RSU Award granted under the RSU award agreement rather than 25% as previously agreed under the RSU award agreement. The acceleration of the vesting was a modification of the plan and required that the fair value be reestablished on the date of the modification. The modification resulted in additional expense in 2015 of approximately $0.3 million. Stock Options During the years ended December 31, 2017 2016 2015 Stock options granted under the Enova LTIP become exercisable in equal increments on the first, second and third anniversaries of their date of grant, and expire on the 7th anniversary of their date of grant. Exercise prices of these stock options are equal to the closing stock price on the day before the grant date. In accordance with ASC 718, compensation expense on stock options is based on the fair value of the stock options on the day before the grant date and is amortized to expense over the vesting periods. For the year ended December 31, 2017, the Company estimated the fair value of the stock option grants using the Black-Scholes option-pricing model based on the following assumptions: risk-free interest rate of 1.9%, expected term (life) of options of 4.5 years, expected volatility of 52.3% and no expected dividends. Determining the fair value of stock-based awards at their respective grant dates requires considerable judgment, including estimating expected volatility and expected term (life). The Company based its expected volatility on a weighted average of the historical volatility of the Company and the historical volatility of comparable public companies over the option’s expected term. The Company calculated its expected term based on the simplified method, which is the mid-point between the weighted-average graded-vesting term and the contractual term. The simplified method was chosen as a means to determine expected term as the Company has limited historical option exercise experience as a public company. The Company derived the risk-free rate from a weighted-average yield for the three-and five-year zero-coupon U.S. Treasury Strips. The Company estimates forfeitures at the grant date based on its historical forfeiture rate, which is based on activity of cash-based long-term incentive units granted and outstanding prior to the Spin-off, and will revise the estimate, if necessary, in subsequent periods if actual forfeitures differ from those estimates. The following table summarizes the Company’s stock option activity during 2017, 2016 2015 Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 Units Weighted Average Exercise Price Units Weighted Average Exercise Price Units Weighted Average Exercise Price Outstanding at beginning of year 1,587,056 $ 17.98 1,891,153 $ 21.44 1,425,196 $ 23.04 Options granted 590,988 14.80 337,081 6.29 785,294 19.19 Options exercised (4,459 ) 6.29 — — — — Options forfeited (119,493 ) 21.02 (641,178 ) 22.01 (319,337 ) 23.04 Outstanding at end of year 2,054,092 $ 16.92 1,587,056 $ 17.98 1,891,153 $ 21.44 Options vested at end of year 1,165,837 19.94 734,896 21.67 475,127 23.05 The weighted average fair value of options granted in 2017 2017, 2016 2015 2017 2017 On May 21, 2015, in connection with the resignation of a certain executive, the Company entered into an employment agreement pursuant to which the executive would become vested on January 1, 2016 in 66.6% of his stock options granted under the stock options award agreement rather than 33.3% as previously agreed under the stock option award agreement. The acceleration of the vesting was a modification of the plan and required that the fair value be reestablished on the date of the modification. The modification resulted in additional expense in 2015 of approximately $0.3 million. |
Derivative Instruments
Derivative Instruments | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Instruments | 13. Derivative Instruments The Company periodically uses derivative instruments to manage risk from changes in market conditions that may affect the Company’s financial performance. The Company primarily uses derivative instruments to manage its primary market risks, which are interest rate risk and foreign currency exchange rate risk. The Company periodically uses forward currency exchange contracts to minimize the effects of foreign currency risk in Brazil and the United Kingdom. The forward currency exchange contracts are non-designated derivatives. Any gain or loss resulting from these contracts is recorded as income or loss and is included in “Foreign currency transaction gain (loss), net” in the Company’s consolidated statements of income. The Company’s derivative instruments are presented in its financial statements on a net basis. The Company had no outstanding derivative instruments as of December 31, . Non-designated derivatives: As of December 31, 2017 Gross Amounts Gross Amounts Net Amounts of Assets of Recognized Offset in the Presented in the Notional Financial Consolidated Consolidated Balance Forward currency exchange contracts Amount Instruments Balance Sheets (1) Sheets (2) Assets $ — $ — $ — $ — Liabilities $ 12,039 $ 55 $ — $ 55 (1) As of December 31, 2017, the Company had no gross amounts of recognized derivative instruments that the Company makes an accounting policy election not to offset. In addition, there was no financial collateral related to the Company’s derivatives. The Company has no assets or liabilities that are subject to an enforceable master netting agreement or similar arrangement. (2) Represents the fair value of forward currency contracts, which is recorded in “Accounts payable and accrued expenses” in the consolidated balance sheets. The following table presents information on the effect of derivative instruments on the consolidated results of operations and AOCI for years ended December 31, 2017, 2016 and 2015 (in thousands): Gains (Losses) Gains (Losses) Gains (Losses) Reclassified From Recognized in Income Recognized in AOCI AOCI into Income Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 2017 2016 2015 2017 2016 2015 Non-designated derivatives: Forward currency exchange contracts (1) $ (55 ) $ 3,020 $ 4,525 $ — $ — $ — $ — $ — $ — Total $ (55 ) $ 3,020 $ 4,525 $ — $ — $ — $ — $ — $ — (1) The gains (losses) on these derivatives substantially offset the (losses) gains on the hedged portion of the foreign intercompany balances. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2017 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | 14. Related Party Transactions A current officer of the Company has an ongoing ownership interest in the small business from which the Company acquired certain assets and assumed certain liabilities in June 2015 (see Note 2 for additional information). In the normal course of business, the Company has attained certain customer relationships from the small business by entering into transactions with the customers to obtain additional RPA financing. In these transactions, the Company satisfies the customer’s existing RPA balance with the small business which terminates such customer’s responsibilities to the small business. During the year ended December 31, 2017, the Company did not attain any additional relationships through these transactions with the small business. During the years ended December 31, 2016 and 2015, the Company paid $0.4 million and $7.7 million, respectively, to the small business to satisfy customers’ existing RPA balances. Pursuant to the acquisition, a subsidiary of the Company issued a promissory note to the small business in the amount of $3.0 million (the “Promissory Note”) and granted the company an opportunity to earn certain contingent purchase consideration (see Note 2 for additional information), both of which are guaranteed by the Company. The Promissory Note accrues interest at a rate of 4.0% per annum and will mature on June 23, 2018. The Company incurred interest expense related to the Promissory Note of $0.1 million in each of the years ended December 31, 2017 , , After the Spin-off, Cash America charged the Company a transition services fee related to utilization of financial reporting systems and accounts payable processing that is included in general and administrative expenses. The Company recorded $0.4 million in expense for these services for the year ended December 31, 2015. The Company transitioned to its own financial reporting system in late 2015 and the transition services agreement with Cash America ended on December 31, 2015. The Company and Cash America entered into an agreement for the Company to administer the consumer loan underwriting model utilized by Cash America’s Retail Services Division in exchange for fee per transaction paid to the Company as well as the reimbursement of the Company’s direct third-party costs incurred in providing the service. The Company received $0.8 million, $1.0 million and $1.2 million for the years ended December 31, 2017 , Since May 30, 2014, amounts due to Cash America or First Cash have been settled a month in arrears. The balance due from First Cash of $0.1 million as of each of December 31, 2017 and 2016 is included in “Other receivables and prepaid expenses” in the consolidated balance. On December 8, 2016, Cash America completed the sale of its entire holding in the Company and no longer has any ownership interest in the Company. In October 2017, the Company entered into an agreement for direct mail services with a marketing agency where David Fisher, the Company’s Chief Executive Officer and Chairman of the Board, also serves as a member of the marketing agency’s Board of Directors. As of December 31, 2017, there were no amounts due or paid to the agency. |
Variable Interest Entities
Variable Interest Entities | 12 Months Ended |
Dec. 31, 2017 | |
Variable Interest Entities [Abstract] | |
Variable Interest Entities | 15. Variable Interest Entities As part of the Company’s overall funding strategy and as part of its efforts to support its liquidity from sources other than its traditional capital market sources, the Company has established a securitization program through the 2016-1 and 2016-2 Securitization Facilities. The Company transfers certain consumer loan receivables to wholly owned, bankruptcy-remote special purpose subsidiaries (VIEs), which issue term notes backed by the underlying consumer loan receivables and are serviced by another wholly owned subsidiary. The cash flows from the loans held by the VIEs are used to repay obligations under the notes. The Company is required to evaluate the VIEs for consolidation. The Company has the ability to direct the activities of the VIEs that most significantly impact the economic performance of the entities as the servicer of the securitized loan receivables. Additionally, the Company has the right to returns related to servicing fee revenue from the VIEs and to receive residual payments, which expose it to potentially significant losses and returns. Accordingly, the Company determined it is the primary beneficiary of the VIEs and is required to consolidate them. The assets and liabilities related to the VIEs are included in the Company’s consolidated financial statements and are accounted for as secured borrowings. The Company parenthetically discloses on its consolidated balance sheets the VIE’s assets that can only be used to settle the VIE’s obligations and the VIE liabilities if the VIE’s creditors have no recourse against the Company’s general credit. The carrying amounts of consolidated VIE assets and liabilities associated with the Company’s securitization entities were as follows (in thousands): December 31, 2017 2016 Assets Restricted cash and cash equivalents $ 21,696 $ 19,468 Loans and finance receivables, net 259,996 216,766 Other receivables and prepaid expenses — 3 Other assets 178 2,459 Total assets $ 281,870 $ 238,696 Liabilities Accounts payable and accrued expenses $ 1,671 $ 1,350 Long-term debt 208,135 163,550 Total liabilities $ 209,806 $ 164,900 |
Supplemental Disclosures of Cas
Supplemental Disclosures of Cash Flow Information | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Supplemental Disclosures of Cash Flow Information | 16. Supplemental Disclosures of Cash Flow Information The following table sets forth certain cash and non-cash activities for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Cash paid during the year for: Interest $ 63,529 $ 59,609 $ 49,390 Income taxes paid 17,263 19,213 40,759 Non-cash investing and financing activities: Loans and finance receivables renewed $ 322,648 $ 310,425 $ 253,279 Liabilities assumed in acquisitions — — 8,658 |
Operating Segment Information
Operating Segment Information | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Operating Segment Information | 17. Operating Segment Information The Company provides online financial services to non-prime credit consumers and small businesses in the United States, United Kingdom, and Brazil and has one reportable segment, which is composed of the Company’s domestic and international operations and corporate services. The Company has aggregated all components of its business into a single operating segment based on the similarities of the economic characteristics, the nature of the products and services, the nature of the production and distribution methods, the type of customer and the nature of the regulatory environment. The following tables present information on the Company’s domestic and international operations as of and for the years ended December 31, 2017, 2016 and 2015 (in thousands). Year Ended December 31, 2017 2016 2015 Revenue Domestic $ 709,537 $ 622,991 $ 510,242 International 134,204 122,578 142,358 Total revenue $ 843,741 $ 745,569 $ 652,600 Income from operations Domestic $ 233,065 $ 204,084 $ 183,582 International 6,147 19,787 42,787 Corporate services (104,798 ) (102,394 ) (101,982 ) Total income from operations $ 134,414 $ 121,477 $ 124,387 Depreciation and amortization Domestic $ 6,769 $ 6,005 $ 7,920 International 1,539 2,167 2,254 Corporate services 6,080 7,392 8,214 Total depreciation and amortization $ 14,388 $ 15,564 $ 18,388 Expenditures for property and equipment Domestic $ 6,449 $ 6,955 $ 6,268 International 4,589 3,158 3,797 Corporate services 5,490 4,283 22,176 Total expenditures for property and equipment $ 16,528 $ 14,396 $ 32,241 December 31, 2017 2016 Property and equipment, net Domestic $ 25,732 $ 19,734 International 7,670 5,410 Corporate services 15,123 21,956 Total property and equipment, net $ 48,525 $ 47,100 Assets Domestic $ 964,697 $ 823,390 International 133,449 96,606 Corporate services 61,314 57,883 Total assets $ 1,159,460 $ 977,879 Geographic Information The following table presents the Company’s revenue by geographic region for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Revenue United States $ 709,537 $ 622,991 $ 510,242 United Kingdom 114,838 103,478 129,703 Other international countries 19,366 19,100 12,655 Total revenue $ 843,741 $ 745,569 $ 652,600 The Company’s long-lived assets, which consist of the Company’s property and equipment, were $48.5 million and $47.1 million at December 31, 2017 and 2016, respectively. The operations for the Company’s domestic and international businesses are primarily located within the United States, and the value of any long-lived assets located outside of the United States is immaterial. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | 18. Fair Value Measurements Recurring Fair Value Measurements In accordance with ASC 820, certain of the Company’s assets and liabilities, which are carried at fair value, are classified in one of the following three categories: Level 1: Quoted market prices in active markets for identical assets or liabilities. Level 2: Observable market based inputs or unobservable inputs that are corroborated by market data. Level 3: Unobservable inputs that are not corroborated by market data. During the years ended December 31, 2017 and 2016, there were no transfers of assets or liabilities in or out of Level 1, Level 2 or Level 3 fair value measurements. It is the Company’s policy to value any transfers between levels of the fair value hierarchy based on end of period values. The Company’s financial assets that are measured at fair value on a recurring basis as of December 31, 2017 and 2016 are as follows (in thousands): December 31, Fair Value Measurements Using 2017 Level 1 Level 2 Level 3 Financial assets (liabilities) Forward currency exchange contracts $ (55 ) $ — $ (55 ) $ — Nonqualified savings plan assets (1) 1,460 1,460 — — Total $ 1,405 $ 1,460 $ (55 ) $ — December 31, Fair Value Measurements Using 2016 Level 1 Level 2 Level 3 Financial assets (liabilities) Nonqualified savings plan assets (1) $ 1,590 $ 1,590 $ — $ — Contingent consideration (2,358 ) — — (2,358 ) Total $ (768 ) $ 1,590 $ — $ (2,358 ) (1) The non-qualified savings plan assets have an offsetting liability of a greater amount, which is included in “Accounts payable and accrued expenses” in the Company’s consolidated balance sheets. The Company measures the fair value of its forward currency exchange contracts under Level 2 inputs as defined by ASC 820. For these forward currency exchange contracts, current market rates are used to determine fair value. The significant inputs used in these models are derived from observable market rates. The fair value of the nonqualified savings plan assets are measured under a Level 1 input. These assets are publicly traded equity securities for which market prices are readily observable. The Company determined the fair value of the liability for the contingent consideration based on a probability-weighted discounted cash flow analysis. This analysis reflects the contractual terms of the purchase agreement and utilizes assumptions with regard to future earnings, probabilities of achieving such future earnings, the timing of expected payments and a discount rate. Significant increases with respect to assumptions as to future earnings and probabilities of achieving such future earnings would result in a higher fair value measurement while an increase in the discount rate would result in a lower fair value measurement. The fair value measurement is based on significant inputs not observable in the market and thus represents a Level 3 measurement as defined in the fair value hierarchy. The changes in the fair value of the contingent consideration, which is a Level 3 liability measured at fair value on a recurring basis, are summarized in the table below for the years ended December 31, 2017 and 2016 (in thousands): Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Contingent consideration Total Balance at December 31, 2015 $ 5,658 $ 5,658 Remeasurement of contingent consideration (see Note 2) (3,300 ) (3,300 ) Balance at December 31, 2016 $ 2,358 $ 2,358 Remeasurement of contingent consideration (see Note 2) (2,358 ) (2,358 ) Balance at December 31, 2017 $ — $ — Fair Value Measurements on a Non-Recurring Basis The Company measures non-financial assets and liabilities such as property and equipment and intangible assets at fair value on a nonrecurring basis or when events or circumstances indicate that the carrying amount of the assets may be impaired. At December 31, 2017 and 2016, there were no assets or liabilities recorded at fair value on a nonrecurring basis. Financial Assets and Liabilities Not Measured at Fair Value The Company’s financial assets and liabilities as of December 31, 2017 and 2016 that are not measured at fair value in the consolidated balance sheets are as follows (in thousands): December 31, Fair Value Measurements Using 2017 Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 68,684 $ 68,684 $ — $ — Short-term loans and line of credit accounts, net (1) 192,675 — — 192,675 Installment loans and RPAs, net (1) 512,030 — — 544,799 Restricted cash 29,460 29,460 — — Investment in unconsolidated investee (2)(3) 6,703 — — 6,703 Total $ 809,552 $ 98,144 $ — $ 744,177 Financial liabilities: Liability for estimated losses on consumer loans guaranteed by the Company $ 2,258 $ — $ — $ 2,258 Promissory note 3,000 — — 3,287 Securitization Notes 211,406 — 215,063 — 9.75% senior notes due 2021 342,558 — 365,700 — 8.50% senior notes due 2024 250,000 — 255,000 — Total $ 809,222 $ — $ 835,763 $ 5,545 December 31, Fair Value Measurements Using 2016 Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 39,934 $ 39,934 $ — $ — Short-term loans and line of credit accounts, net (1) 162,824 — — 162,824 Installment loans and RPAs, net (1) 398,726 — — 430,895 Restricted cash 26,306 26,306 — — Investment in unconsolidated investee (2)(3) 6,703 — — 6,703 Total $ 634,493 $ 66,240 $ — $ 600,422 Financial liabilities: Liability for estimated losses on consumer loans guaranteed by the Company $ 1,996 $ — $ — $ 1,996 Promissory note 3,000 — — 3,111 Securitization Notes 165,419 — 168,216 — 9.75% senior notes due 2021 495,622 — 495,940 — Total $ 666,037 $ — $ 664,156 $ 5,107 (1) Short-term loans, line of credit accounts and installment loans and RPAs are included in “Loans and finance receivables, net” in the consolidated balance sheets. (2) Investment in unconsolidated investee is included in “Other assets” in the consolidated balance sheets. (3) See Note 1 for additional information related to the investment in unconsolidated investee. Cash and cash equivalents and restricted cash The carrying amount of restricted cash and cash equivalents approximates fair value. Short-term loans, line of credit accounts, installment loans and RPAs are carried in the consolidated balance sheet net of the allowance for estimated losses, which is calculated by applying historical loss rates combined with recent default trends to the gross receivable balance. Short-term loans and line of credit accounts have relatively short maturity periods that are generally 12 months or less. The unobservable inputs used to calculate the fair value of these receivables include historical loss rates, recent default trends and estimated remaining loan term; therefore, the carrying value approximates the fair value. The fair value of installment loans and RPAs is estimated using discounted cash flow analyses, which consider interest rates on loans and discounts offered for receivables with similar terms to customers with similar credit quality, the timing of expected payments, estimated customer default rates and/or valuations of comparable portfolios. As of December 31, 2017 and 2016, the fair value of the Company’s installment loans and RPAs was greater than the carrying value of these loans and finance receivables. Unsecured installment loans typically have terms between two and 60 months. RPAs typically have estimated delivery terms between six and 18 months. The Company measures the fair value of its investment in unconsolidated investee using Level 3 inputs. Because the unconsolidated investee is a private company and financial information is limited, the Company estimates the fair value based on the best available information at the measurement date. As of December 31, 2017, the Company estimated the fair value of its investment to be approximately equal to the book value. In connection with its CSO programs, the Company guarantees consumer loan payment obligations to unrelated third-party lenders for short-term and installment loans the Company arranges for consumers on the third-party lenders’ behalf and is required to purchase any defaulted loans it has guaranteed. The estimated fair value of the liability for estimated losses on consumer loans guaranteed by the Company was $2.3 million and $2.0 million as of December 31, 2017 and 2016, respectively. The Company measures the fair value of its liability for third-party lender-owned consumer loans under Level 3 inputs. The fair value of these liabilities is calculated by applying historical loss rates combined with recent default trends to the gross consumer loan balance. The unobservable inputs used to calculate the fair value of these loans include historical loss rates, recent default trends and estimated remaining loan terms; therefore, the carrying value of these liabilities approximates the fair value. The Company measures the fair value of the Promissory Note using Level 3 inputs. The fair value of the Promissory Note is estimated using a discounted cash flow analysis. As of December 31, 2017 and 2016, the Promissory Note had a higher fair value than the carrying value. The Company measures the fair value of its Securitization Notes using Level 2 inputs. The fair value of the Company’s Securitization Notes is estimated based on quoted prices in markets that are not active. As of December 31, 2017 and 2016, the Company’s Securitization Notes had a higher fair value than the carrying value. The Company measures the fair value of its 9.75% senior notes due 2021 using Level 2 inputs. The fair value of the Company’s 9.75% senior notes due 2021 is estimated based on quoted prices in markets that are not active. As of December 31, 2017 and 2016, the Company’s 9.75% senior notes due 2021 had a higher fair value than the carrying value. The Company measures the fair value of its 8.50 % senior notes due 2024 using Level 2 inputs. The fair value of the 8.50 % senior notes due 2024 is estimated based on quoted prices in markets that are not active. As of December 31, 2017, the Company’s 8.50 % senior notes due 2024 had a higher fair value than the carrying value. |
Condensed Consolidating Financi
Condensed Consolidating Financial Statements | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Financial Statements | 19. Condensed Consolidating Financial Statements The Company’s Senior Notes are unconditionally guaranteed by certain of the Company’s subsidiaries (the “Guarantor Subsidiaries”) and are not secured by its other subsidiaries (the “Non-Guarantor Subsidiaries”). The Guarantor Subsidiaries are 100% owned, all guarantees are full and unconditional, and all guarantees are joint and several. As a result of the guarantee arrangements, we are required to present the following condensed consolidating financial statements. The condensed consolidating financial statements reflect the investments in subsidiaries of the Company using the equity method of accounting. The principal elimination entries eliminate investments in subsidiaries and intercompany balances and transactions. Condensed consolidating financial statements of Enova International, Inc. (the “Parent”), its Guarantor Subsidiaries and Non-Guarantor Subsidiaries as of December 31, 2017 and 2016 and for the years ended December 31, 2017, 2016 and 2015 are shown on the following pages. CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ 12,183 $ 54,659 $ 1,842 $ — $ 68,684 Restricted cash — 7,764 21,696 — 29,460 Loans and finance receivables, net — 442,516 262,189 — 704,705 Income taxes receivable 114,494 (110,852 ) 450 — 4,092 Other receivables and prepaid expenses 833 20,731 2,253 — 23,817 Property and equipment, net — 47,965 560 — 48,525 Goodwill — 267,015 — — 267,015 Intangible assets, net — 4,325 — — 4,325 Investment in subsidiaries 388,538 63,956 — (452,494 ) — Intercompany receivable 354,457 — — (354,457 ) — Other assets 1,785 6,874 178 — 8,837 Total assets $ 872,290 $ 804,953 $ 289,168 $ (806,951 ) $ 1,159,460 Liabilities and Stockholders' Equity Accounts payable and accrued expenses $ 10,336 $ 64,541 $ 2,246 $ — $ 77,123 Intercompany payables — 331,425 23,032 (354,457 ) — Deferred tax liabilities, net (140 ) 12,726 (478 ) — 12,108 Long-term debt 580,407 — 208,135 — 788,542 Total liabilities 590,603 408,692 232,935 (354,457 ) 877,773 Commitments and contingencies Stockholders' equity 281,687 396,261 56,233 (452,494 ) 281,687 Total liabilities and stockholders' equity $ 872,290 $ 804,953 $ 289,168 $ (806,951 ) $ 1,159,460 CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ 36,057 $ 3,877 $ — $ 39,934 Restricted cash — 6,838 19,468 — 26,306 Loans and finance receivables, net — 335,161 226,390 — 561,550 Income taxes receivable — — — — — Other receivables and prepaid expenses 127 19,095 302 — 19,524 Property and equipment, net — 46,507 593 — 47,100 Goodwill — 267,010 — — 267,010 Intangible assets, net — 5,400 4 — 5,404 Investment in subsidiaries 294,647 25,131 — (319,778 ) — Intercompany receivable 363,941 — — (363,941 ) — Other assets 597 7,995 2,459 — 11,051 Total assets $ 659,312 $ 749,194 $ 253,093 $ (683,719 ) $ 977,879 Liabilities and Stockholders' Equity Accounts payable and accrued expenses $ 4,310 $ 65,714 $ 1,647 $ — $ 71,671 Intercompany payables — 295,764 68,179 (363,943 ) — Income taxes currently payable (72,704 ) 73,006 (20 ) — 282 Deferred tax liabilities, net (354 ) 15,156 (486 ) — 14,316 Long-term debt 486,361 — 163,550 — 649,911 Total liabilities 417,613 449,640 232,870 (363,943 ) 736,180 Commitments and contingencies Stockholders' equity 241,699 299,554 20,223 (319,777 ) 241,699 Total liabilities and stockholders' equity $ 659,312 $ 749,194 $ 253,093 $ (683,720 ) $ 977,879 CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 696,446 $ 151,233 $ (3,938 ) $ 843,741 Cost of Revenue — 313,815 82,817 — 396,632 Gross Profit — 382,631 68,416 (3,938 ) 447,109 Expenses Marketing — 99,522 1,907 — 101,429 Operations and technology — 85,899 10,660 (1,404 ) 95,155 General and administrative 360 97,762 6,135 (2,534 ) 101,723 Depreciation and amortization — 14,209 179 — 14,388 Total Expenses 360 297,392 18,881 (3,938 ) 312,695 (Loss) Income from Operations (360 ) 85,239 49,535 — 134,414 Interest expense, net (55,506 ) (152 ) (18,345 ) — (74,003 ) Foreign currency transaction gain 381 3 — — 384 (Loss) gain on early extinguishment of debt (14,927 ) (8,594 ) 626 — (22,895 ) (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (70,412 ) 76,496 31,816 — 37,900 (Benefit from) provision for income taxes (16,089 ) 17,479 7,270 — 8,660 (Loss) Income before Equity in Net Earnings of Subsidiaries (54,323 ) 59,017 24,546 — 29,240 Net earnings of subsidiaries 83,563 24,546 — (108,109 ) — Net Income (Loss) $ 29,240 $ 83,563 $ 24,546 $ (108,109 ) $ 29,240 Other comprehensive gain (loss), net of tax: Foreign currency translation gain (loss) 4,492 4,963 (471 ) (4,492 ) 4,492 Total other comprehensive gain (loss), net of tax 4,492 4,963 (471 ) (4,492 ) 4,492 Comprehensive Income (Loss) $ 33,732 $ 88,526 $ 24,075 $ (112,601 ) $ 33,732 CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 653,517 $ 95,646 $ (3,594 ) $ 745,569 Cost of Revenue — 260,996 66,970 — 327,966 Gross Profit — 392,521 28,676 (3,594 ) 417,603 Expenses Marketing — 95,972 1,432 — 97,404 Operations and technology — 80,999 4,203 — 85,202 General and administrative 315 95,840 5,395 (3,594 ) 97,956 Depreciation and amortization — 15,464 100 — 15,564 Total Expenses 315 288,275 11,130 (3,594 ) 296,126 (Loss) Income from Operations (315 ) 104,246 17,546 — 121,477 Interest expense, net (53,512 ) 562 (12,653 ) — (65,603 ) Foreign currency transaction gain (loss) 1,569 (7 ) — — 1,562 (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (52,258 ) 104,801 4,893 — 57,436 Provision for income taxes (20,776 ) 41,665 1,945 — 22,834 (Loss) Income before Equity in Net Earnings of Subsidiaries (31,482 ) 63,136 2,948 — 34,602 Net earnings of subsidiaries 66,084 2,948 — (69,032 ) — Net Income (Loss) $ 34,602 $ 66,084 $ 2,948 $ (69,032 ) $ 34,602 Other comprehensive (loss) gain, net of tax: Foreign currency translation (loss) gain (6,956 ) (8,269 ) 1,331 6,938 (6,956 ) Total other comprehensive (loss) gain, net of tax (6,956 ) (8,269 ) 1,331 6,938 (6,956 ) Comprehensive Income (Loss) $ 27,646 $ 57,815 $ 4,279 $ (62,094 ) $ 27,646 CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2015 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 650,295 $ 2,305 $ — $ 652,600 Cost of Revenue — 215,637 1,221 — 216,858 Gross Profit — 434,658 1,084 — 435,742 Expenses Marketing — 116,330 552 — 116,882 Operations and technology — 71,993 2,019 — 74,012 General and administrative 673 100,642 758 — 102,073 Depreciation and amortization — 18,350 38 — 18,388 Total Expenses 673 307,315 3,367 — 311,355 (Loss) Income from Operations (673 ) 127,343 (2,283 ) — 124,387 Interest expense, net (52,816 ) (71 ) 4 — (52,883 ) Foreign currency transaction gain (loss) 532 (1,516 ) (1 ) — (985 ) (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (52,957 ) 125,756 (2,280 ) — 70,519 (Benefit from) provision for income taxes (19,921 ) 47,306 (858 ) — 26,527 (Loss) Income before Equity in Net Earnings of Subsidiaries (33,036 ) 78,450 (1,422 ) — 43,992 Net earnings of subsidiaries 77,028 (1,422 ) — (75,606 ) — Net Income (Loss) $ 43,992 $ 77,028 $ (1,422 ) $ (75,606 ) $ 43,992 Other comprehensive (loss) gain, net of tax: Foreign currency translation (loss) gain (1,451 ) (245 ) (866 ) 1,111 (1,451 ) Total other comprehensive (loss) gain, net of tax (1,451 ) (245 ) (866 ) 1,111 (1,451 ) Comprehensive Income (Loss) $ 42,541 $ 76,783 $ (2,288 ) $ (74,495 ) $ 42,541 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ (50,319 ) $ 616,042 $ (91,660 ) $ (26,890 ) $ 447,173 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,401,302 ) (29,720 ) 11,623 (1,419,399 ) Securitized loans transferred — 231,863 (231,863 ) — — Loans and finance receivables repaid — 621,495 299,682 (11,623 ) 909,554 Change in restricted cash — (337 ) (2,228 ) — (2,565 ) Purchases of property and equipment — (16,375 ) (153 ) — (16,528 ) Capital contributions to subsidiaries — (11,935 ) — 11,935 — Other investing activities — 1,805 — — 1,805 Net cash (used in) provided by investing activities — (574,786 ) 35,718 11,935 (527,133 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — (26,890 ) 11,935 14,955 — Debt issuance costs paid (10,753 ) — (3,909 ) — (14,662 ) Debt prepayment penalty (16,694 ) — — — (16,694 ) Treasury shares purchased (5,079 ) — — — (5,079 ) Issuance of Senior Notes 250,000 — — — 250,000 Repayments of Senior Notes (155,000 ) — — — (155,000 ) Borrowings under revolving line of credit 30,000 — — — 30,000 Repayments under revolving line of credit (30,000 ) — — — (30,000 ) Borrowings under securitization facility — — 359,842 — 359,842 Repayments under securitization facility — — (313,853 ) — (313,853 ) Proceeds from exercise of stock options 28 — — — 28 Net cash provided by (used in) financing activities 62,502 (26,890 ) 54,015 14,955 104,582 Effect of exchange rates on cash — 4,236 (108 ) — 4,128 Net increase (decrease) in cash and cash equivalents 12,183 18,602 (2,035 ) — 28,750 Cash and cash equivalents at beginning of year — 36,057 3,877 — 39,934 Cash and cash equivalents at end of period $ 12,183 $ 54,659 $ 1,842 $ — $ 68,684 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ 59,337 $ 296,876 $ 37,859 $ (699 ) $ 393,373 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,293,273 ) (14,924 ) — (1,308,197 ) Securitized loans transferred — 359,000 (359,000 ) — — Loans and finance receivables repaid — 669,088 188,960 — 858,048 Change in restricted cash — (658 ) (19,468 ) — (20,126 ) Purchases of property and equipment — (14,007 ) (389 ) — (14,396 ) Capital contributions to subsidiaries — (10,255 ) — 10,255 — Other investing activities — 95 — — 95 Net cash used in investing activities — (290,010 ) (204,821 ) 10,255 (484,576 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — (699 ) 10,255 (9,556 ) — Debt issuance costs paid (500 ) — (6,202 ) — (6,702 ) Treasury shares purchased (437 ) — — — (437 ) Borrowings under revolving line of credit 58,400 — — — 58,400 Repayments under revolving line of credit, net (116,800 ) — — — (116,800 ) Borrowings under securitization facility — — 280,075 — 280,075 Repayments under securitization facility — — (114,656 ) — (114,656 ) Net cash provided by (used in) provided by financing activities (59,337 ) (699 ) 169,472 (9,556 ) 99,880 Effect of exchange rates on cash — (11,037 ) 228 — (10,809 ) Net (decrease) increase in cash and cash equivalents — (4,870 ) 2,738 — (2,132 ) Cash and cash equivalents at beginning of year — 40,927 1,139 — 42,066 Cash and cash equivalents at end of period $ — $ 36,057 $ 3,877 $ — $ 39,934 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2015 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ 31,259 $ 331,954 $ (2,695 ) $ (76,597 ) $ 283,921 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,167,107 ) (5,062 ) — (1,172,169 ) Loans and finance receivables repaid — 849,638 (280 ) — 849,358 Acquisitions — (17,735 ) — — (17,735 ) Purchases of property and equipment — (31,977 ) (264 ) — (32,241 ) Capital contributions to subsidiaries (87,876 ) (7,255 ) — 95,131 — Other investing activities — 618 — — 618 Net cash used in investing activities (87,876 ) (373,818 ) (5,606 ) 95,131 (372,169 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — 11,279 7,255 (18,534 ) — Debt issuance costs paid (1,596 ) — — — (1,596 ) Treasury shares purchased (187 ) — — — (187 ) Borrowings under revolving line of credit 63,400 — — — 63,400 Repayments under revolving line of credit (5,000 ) — — — (5,000 ) Net cash provided by (used in) financing activities 56,617 11,279 7,255 (18,534 ) 56,617 Effect of exchange rates on cash — (855 ) (554 ) — (1,409 ) Net decrease in cash and cash equivalents — (31,440 ) (1,600 ) — (33,040 ) Cash and cash equivalents at beginning of year — 72,367 2,739 — 75,106 Cash and cash equivalents at end of period $ — $ 40,927 $ 1,139 $ — $ 42,066 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Data (Unaudited) | 20. Quarterly Financial Data (Unaudited) The Company’s operations are subject to seasonal fluctuations. Demand has historically been highest in the third and fourth quarters of each year, corresponding to the holiday season, and lowest in the first quarter of each year, corresponding to customers’ receipt of income tax refunds in the United States. Typically, the Company’s cost of revenue, which represents its loan loss provision, is lowest as a percentage of revenue in the first quarter of each year. The following is a summary of the quarterly results of operations for the years ended December 31, 2017 and 2016 (in thousands, except per share data): First Second Third Fourth Quarter Quarter Quarter Quarter 2017 Total Revenue $ 192,263 $ 189,904 $ 217,878 $ 243,696 Cost of Revenue 81,884 79,862 107,341 127,545 Gross Profit $ 110,379 $ 110,042 $ 110,537 $ 116,151 Net Income (Loss) $ 13,852 $ 11,873 $ (3,368 ) $ 6,883 Diluted earnings per share $ 0.41 $ 0.35 $ (0.10 ) $ 0.20 Diluted weighted average common shares (1) 34,036 34,125 33,670 34,172 2016 Total Revenue $ 174,653 $ 172,535 $ 195,943 $ 202,438 Cost of Revenue 69,577 65,453 95,391 97,545 Gross Profit $ 105,076 $ 107,082 $ 100,552 $ 104,893 Net Income $ 9,863 $ 8,188 $ 7,837 $ 8,714 Diluted earnings per share $ 0.30 $ 0.25 $ 0.23 $ 0.26 Diluted weighted average common shares (1) 33,187 33,335 33,558 33,767 (1) See Note 1 for Basis of Presentation. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2017 | |
Subsequent Events [Abstract] | |
Subsequent Events | 21. Subsequent Events Subsequent events have been reviewed through the date these financial statements were available to be issued. On January 22, 2018, the Company redeemed $50,000,000 in principal amount of the outstanding 2021 Senior Notes. The redemption price of the 2021 Senior Notes, as set forth in the 2021 Senior Notes Indenture, was equal to 107.313% of the principal amount of such 2021 Senior Notes redeemed, plus accrued and unpaid interest thereon. In connection with these purchases, the Company recorded a loss on extinguishment of debt of approximately $4.7 million, which will be included in “Loss on early extinguishment of debt” in the consolidated statements of income. |
Significant Accounting Polici30
Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements of the Company reflect the historical results of operations and cash flows of the Company during each respective period. The financial statements include goodwill and intangible assets arising from businesses previously acquired. The financial information included herein may not be indicative of the consolidated financial position, operating results, changes in stockholders’ equity and cash flows of the Company in the future. Intercompany transactions are eliminated. The Company consolidates any variable interest entity (“VIE”) where it has determined the Company is the primary beneficiary. The primary beneficiary is the entity which has both the power to direct the activities of the VIE that most significantly impact the VIE’s economic performance as well as the obligation to absorb losses or receive benefits of the entity that could potentially be significant to the VIE. |
Use of Estimates | Use of Estimates The preparation of these financial statements in conformity with accounting principles generally accepted in the United States (“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 dates of the consolidated financial statements and the reported amounts of revenue and expenses during the reporting periods. On an on-going basis, management evaluates its estimates and judgments, including those related to revenue recognition, allowance for losses on loans and finance receivables, goodwill, long-lived and intangible assets, income taxes, contingencies and litigation. Management bases its estimates on historical experience, empirical data and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities. Actual results may differ from these estimates. |
Out-of-Period Adjustment | Out-of-Period Adjustment In a review of its revenue recognition policy during 2015, the Company determined that certain fees on its line of credit product should be deferred over the period the draw is outstanding rather than recognized as revenue when assessed. The Company recorded a $2.5 million reduction to revenue in the fourth quarter of 2015 as an out-of-period adjustment. This adjustment included a $2.8 million reduction of revenue associated with periods prior to 2015. The Company believes this adjustment was not material to any of the prior years’ financial statements. |
Foreign Currency Translations | Foreign Currency Translations The functional currencies for the Company’s subsidiaries that serve or have served residents of the United Kingdom, Australia, Canada and Brazil are the British pound, the Australian dollar, the Canadian dollar and the Brazilian real, respectively. The assets and liabilities of these subsidiaries are translated into U.S. dollars at the exchange rates in effect at each balance sheet date, and the resulting adjustments are recorded in “Accumulated other comprehensive income (loss)” (“AOCI”) as a separate component of stockholders’ equity. Revenue and expenses are translated at the monthly average exchange rates occurring during each period. |
Cash and Cash Equivalents | Cash and Cash Equivalents The Company considers deposits in banks and short-term investments with original maturities of 90 days or less as cash and cash equivalents. |
Restricted Cash | Restricted Cash The Company includes funds to be used for future debt payments relating to its securitization transactions and escrow deposits in restricted cash and cash equivalents. |
Revenue Recognition | Revenue Recognition The Company recognizes revenue based on the financing products and services it offers and on loans it acquires. “Revenue” in the consolidated statements of income includes: interest income, finance charges, fees for services provided through the Company’s credit services organization and credit access business programs (“ |
Current and Delinquent Loans and Finance Receivables | Current and Delinquent Loans and Finance Receivables The Company classifies its loans and finance receivables as either current or delinquent. Short-term loans are considered delinquent when payment of an amount due is not made as of the due date. If a line of credit account or installment loan customer misses one payment, that payment is considered delinquent and the balance of the loan is considered current. If a line of credit account or installment loan customer does not make two consecutive payments, the entire account or loan is classified as delinquent and placed on a non-accrual status. The Company allows for normal payment processing time before considering a loan delinquent but does not provide for any additional grace period. Where permitted by law and as long as a loan is not considered delinquent, a customer may choose to renew a short-term loan or installment loan or extend the due date on a short-term loan. In order to renew or extend a short-term loan, a customer must agree to pay the current finance charge for the right to make a later payment of the outstanding principal balance plus an additional finance charge. In order to renew an installment loan, the customer enters into a new installment loan contract and agrees to pay the principal balance and finance charge in accordance with the terms of the new loan contract. If a short-term loan is renewed, but the customer fails to pay that loan’s current finance charge as of the due date, the unpaid finance charge is classified as delinquent. The Company does not accrue interest on delinquent loans and does not resume accrual of interest on a delinquent loan unless it is returned to current status. In addition, delinquent loans generally may not be renewed, and if, during its attempt to collect on a delinquent loan, the Company allows additional time for payment through a payment plan or a promise to pay, it is still considered delinquent. Generally, all payments received are first applied against accrued but unpaid interest and fees and then against the principal balance of the loan. |
Allowance and Liability for Estimated Losses on Loans and Finance Receivables | Allowance and Liability for Estimated Losses on Loans and Finance Receivables The Company monitors the performance of its loan and finance receivable portfolios and maintains either an allowance or liability for estimated losses on loans and finance receivables (including revenue, fees and/or interest) at a level estimated to be adequate to absorb losses inherent in the portfolio. The allowance for losses on the Company’s owned loans and finance receivables reduces the outstanding loans and finance receivables balance in the consolidated balance sheets. The liability for estimated losses related to loans guaranteed under its CSO programs is initially recorded at fair value and is included in “Accounts payable and accrued expenses” in the consolidated balance sheets. In determining the allowance or liability for estimated losses on loans and finance receivables, the Company applies a documented systematic methodology. In calculating the allowance or liability for receivable losses, outstanding loans and finance receivables are divided into discrete groups of short-term loans, line of credit accounts, installment loans and RPAs and are analyzed as current or delinquent. Increases in either the allowance or the liability, net of charge-offs and recoveries, are recorded as a “Cost of revenue” in the consolidated statements of income. The allowance or liability for short-term loans classified as current is based on historical loss rates adjusted for recent default trends for current loans. For delinquent short-term loans, the allowance or liability is based on a six-month rolling average of loss rates by stage of collection. For line of credit account, installment loan and RPA portfolios, the Company generally uses either a migration analysis or roll-rate based methodology to estimate losses inherent in the portfolio. The allowance or liability calculation under the migration analysis and roll-rate methodology is based on historical charge-off experience and the loss emergence period, which represents the average amount of time between the first occurrence of a loss event and the charge-off of a loan or RPA. The factors the Company considers to assess the adequacy of the allowance or liability include past due performance, historical behavior of monthly vintages, underwriting changes, delinquency status, payment history and recency factors. The Company fully reserves for loans and finance receivables once the receivable or a portion of the receivable has been classified as delinquent for 60 consecutive days and generally charges off loans and finance receivables between 60 – 65 days delinquent. If a loan or finance receivable is deemed uncollectible before it is fully reserved, it is charged off at that point. Loans and finance receivables classified as delinquent generally have an age of one to 64 days from the date any portion of the receivable became delinquent, as defined above. Recoveries on loans and finance receivables previously charged to the allowance are credited to the allowance when collected. |
Property and Equipment | Property and Equipment Property and equipment is recorded at cost. The cost of property retired or sold and the related accumulated depreciation are removed from the accounts, and any resulting gain or loss is recognized in the consolidated statements of income. Costs associated with repair and maintenance activities are expensed as incurred. Depreciation expense is generally provided on a straight-line basis, using the following estimated useful lives: Computer hardware and software 3 to 5 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements (1) 3 to 10 years (1) Leasehold improvements are depreciated over the lesser of the estimated useful life, remaining lease term, or 10 years. |
Software Development Costs | Software Development Costs The Company applies Accounting Standards Codification (“ASC”) 350-40, Internal Use Software |
Goodwill | Goodwill Goodwill represents the excess of the purchase price over the fair value of the net tangible and identifiable intangible assets acquired in each business combination. In accordance with ASC 350, Intangibles—Goodwill and Other The Company first assesses qualitative factors to determine whether it is necessary to perform the two-step quantitative goodwill impairment test. In assessing the qualitative factors, management considers relevant events and circumstances including but not limited to macroeconomic conditions, industry and market environment, overall financial performance of the Company, cash flow from operating activities, market capitalization and stock price. If the Company determines that the two-step quantitative impairment test is required, management uses the income approach to complete its annual goodwill assessment. The income approach uses future cash flows and estimated terminal values for the Company that are discounted using a market participant perspective to determine the fair value, which is then compared to the carrying value to determine if there is impairment. The income approach includes assumptions about revenue growth rates, operating margins and terminal growth rates discounted by an estimated weighted-average cost of capital derived from other publicly-traded companies that are similar but not identical from an operational and economic standpoint. The Company completed its annual assessment of goodwill as of June 30, 2017 based on qualitative factors and determined that the fair value of its goodwill exceeded carrying value, and, as a result, no impairment existed at that date. Although no goodwill impairment was noted, there can be no assurances that future goodwill impairments will not occur. As of December 31, 2017, the Company had $267.0 million of goodwill, all of which is expected to be deductible for tax purposes. |
Long-Lived Assets Other Than Goodwill | Long-Lived Assets Other Than Goodwill An evaluation of the recoverability of property and equipment and intangible assets subject to amortization is performed whenever the facts and circumstances indicate that the carrying value may be impaired. An impairment loss is recognized if the future undiscounted cash flows associated with the asset and the estimated fair value of the asset are less than the asset’s corresponding carrying value. The amount of the impairment loss, if any, is the excess of the asset’s carrying value over its estimated fair value. The Company amortizes intangible assets subject to amortization on the basis of their expected periods of benefit, generally three to 20 years. The costs of start-up activities and organization costs are charged to expense as incurred. |
Hedging and Derivatives Activity | Hedging and Derivatives Activity The Company periodically uses foreign currency forward contracts, which are considered derivative instruments, to minimize the effects of foreign currency risk in Brazil and the United Kingdom related to the operations of the Company. The forward contracts are not designated as hedges as defined by ASC 815, Derivatives and Hedging; therefore, any changes in the fair value of the forward contracts are recognized in “Foreign currency transaction gain (loss), net” in the consolidated statements of income. See Note 13. |
Investment in Unconsolidated Investee | Investment in Unconsolidated Investee The Company accounts for its investments in unconsolidated investees in accordance with ASC 325, Investments—Other Investments are recorded on a cost basis. The Company evaluates investments for impairment if an event occurs or circumstances change that would more likely than not reduce the fair value of the investment below carrying value. If an impairment of an investment is determined to be other than temporary, the cost basis of the investment will be reduced and the resulting loss recognized in net income in the period the other-than-temporary-impairment is identified. The Company’s investments in unconsolidated investees are held in “Other assets” on the consolidated balance sheets. As of December 31, 2017, the Company owned a $6.7 million investment in the preferred stock of a privately-held developing financial services entity. The Company’s impairment evaluation of this investment as of December 31, 2017 determined that an impairment loss was not probable as of that date. |
Marketing Expenses | Marketing Expenses Marketing expenses consist of digital costs, lead purchase costs and offline marketing costs such as television and direct mail advertising. Marketing costs directly related to loan and RPA originations are deferred and amortized against revenue. Marketing costs not directly resulting in loan and RPA originations are expensed as incurred. The production costs associated with offline marketing are expensed as incurred. In 2015 and 2016, the Company also had an agreement with an independent third party pursuant to which the Company paid a portion of the net revenue received from the customers referred to the Company by such third party. |
Operations and Technology Expenses | Operations and Technology Expenses Operations and technology expenses include all expenses related to the direct operations and technology infrastructure related to loan underwriting and processing. This includes call center and operations personnel costs, software maintenance expense, underwriting data from third-party vendors, bank and transaction fees and telephony costs. |
General and Administrative Expenses | General and Administrative Expenses General and Administrative expenses primarily include the Company’s corporate personnel costs, as well as legal, occupancy, and other related costs. |
Stock Based Compensation | Stock-Based Compensation The Company accounts for its stock-based employee compensation plans in accordance with ASC 718, Compensation—Stock Compensation (“ASC 718”) and recognizes compensation expense based on the grant date fair value over the remaining vesting periods for stock-based awards. Under applicable accounting standards, the fair value of share-based compensation is determined at the grant date and the recognition of the related expense is recorded over the period in which the share-based compensation vests. However, with respect to income taxes, the related deduction from taxes payable is based on the award’s intrinsic value at the time of exercise (for an option) or on the fair value upon vesting of the award (for RSUs), which can be either greater (creating an excess tax benefit) or less (creating a tax deficiency) than the deferred tax benefit recognized as compensation cost is recognized in the financial statements. Pursuant to Accounting Standards Update (“ASU”) 2016-09, Improvements to Employee Share-Based Payment Accounting (“ASU 2016-09”) |
Income Taxes | Income Taxes The provision for income taxes is based on income before income taxes as reported for financial statement purposes. Deferred income taxes are provided for in accordance with the assets and liability method of accounting for income taxes in order to recognize the tax effects of temporary differences between financial statement and income tax accounting. The Company accounts for uncertainty in income taxes in accordance with ASC 740, Income Taxes (“ASC 740”). ASC 740 requires that a more-likely-than-not threshold (greater than 50 percent) be met before the benefit of a tax position may be recognized in the consolidated financial statements and prescribes how such benefit should be measured. It also provides guidance on recognition adjustment, classification, accrual of interest and penalties, accounting in interim periods, disclosure and transition. The Company records interest and penalties related to tax matters as income tax expense in the consolidated statements of income. The Company performs an evaluation of the recoverability of its deferred tax assets on a quarterly basis. The Company establishes a valuation allowance if it is more likely than not that all or some portion of the deferred tax asset will not be realized. The Company analyzes several factors, including the nature and frequency of operating losses, the Company’s carryforward period for any losses, the reversal of future taxable temporary differences, the expected occurrence of future income or loss and the feasibility of available tax planning strategies to protect against the loss of deferred tax assets. See Note 9 for further discussion. |
Earnings Per Share | Earnings Per Share Basic earnings per share is computed by dividing net income by the weighted average number of common shares outstanding during the year. Diluted earnings per share is calculated by giving effect to the potential dilution that could occur if securities or other contracts to issue common shares were exercised and converted into common shares during the year. Restricted stock units issued under the Company’s stock-based employee compensation plans are included in diluted shares upon the granting of the awards even though the vesting of shares will occur over time. The following table sets forth the reconciliation of numerators and denominators of basic and diluted earnings per share computations for the years ended December 31, 2017 2016 2015 Year Ended December 31, 2017 2016 2015 Numerator: Net income $ 29,240 $ 34,602 $ 43,992 Denominator: Total weighted average basic shares 33,523 33,192 33,006 Shares applicable to stock-based compensation 609 270 20 Total weighted average diluted shares 34,132 33,462 33,026 Earnings per share – basic $ 0.87 $ 1.04 $ 1.33 Earnings per share – diluted $ 0.86 $ 1.03 $ 1.33 For the years ended December 31, 2017, 2016 and 2015, 1,563,975, 1,622,331 and 1,700,296 shares of common stock underlying stock options, respectively, and 182,008, 464,500 and 368,111 shares of common stock underlying restricted stock units, respectively, were excluded from the calculation of diluted net income per share because their effect would have been antidilutive. |
Adopted Accounting Standards | Adopted In March 2016, the Financial Accounting Standards Board (“FASB”) issued ASU 2016-09. The amendments in ASU 2016-09 simplify several aspects of the accounting for share-based payment transactions, including the income tax consequences, classification of awards as either equity or liabilities and classification on the statement of cash flows. ASU 2016-09 is effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. The Company adopted ASU 2016-09 on January 1, 2017. The adoption of ASU 2016-09 did not have a material impact on the Company’s financial statements. In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments (a consensus of the Emerging Issues Task Force) Accounting Standards to be Adopted in Future Periods In February 2018, the FASB issued ASU 2018-02, Income Statement - Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income In May 2017, the FASB issued ASU 2017-09, Compensation–Stock Compensation (Topic 718): Scope of Modification Accounting In January 2017, the FASB issued ASU 2017-05, Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets (Subtopic 610-20): Clarifying the Scope of Asset Derecognition Guidance and Accounting for Partial Sales of Nonfinancial Assets Other Income—Gains and Losses from the Derecognition of Nonfinancial Assets, Revenue from Contracts with Customers (Topic 606) In January 2017, the FASB issued ASU 2017-04, Intangibles – Goodwill and Other (Topic 350) – Simplifying the Test for Goodwill Impairment In January 2017, the FASB issued ASU 2017-01 Business Combinations (Topic 805) – Clarifying the Definition of a Business In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230), Restricted Cash Statement of Cash Flows, In October 2016, the FASB issued ASU 2016-16, Income Taxes (Topic 740): Intra-Entity Transfers of Assets Other Than Inventory In June 2016, the FASB issued ASU 2016-13, Measurement of Credit Losses on Financial Instruments In February 2016, the FASB issued ASU 2016-02, Leases (Topic 842) In January 2016, the FASB issued ASU 2016-01, Financial Instruments—Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities (“ASU 2016‑01”), which requires that equity investments, except for those accounted for under the equity method or those that result in consolidation of the investee, be measured at fair value, with subsequent changes in fair value recognized in net income. However, an entity may choose to measure equity investments that do not have readily determinable fair values at cost minus impairment, if any, plus or minus changes resulting from observable price changes in orderly transactions for the identical or a similar investment of the same issuer. ASU 2016-01 also impacts the presentation and disclosure requirements for financial instruments. ASU 2016-01 is effective for public business entities for annual periods, and interim periods within those annual periods, beginning after December 15, 2017. Early adoption is permitted only for certain provisions. The Company does not expect that the adoption of ASU 2016-01 will have a material effect on its consolidated financial statements. In May 2014, the FASB issued ASU No. 2014-09, Revenue from Contracts with Customers (Topic 606) The Company will adopt this ASU under the modified-prospective method effective January 1, 2018. The Company has completed its assessment of the guidance and determined its loan and finance receivables are excluded from the scope of ASU 2014-09. As a result of this scope exception, the Company has concluded the impact will not be material to its consolidated financial statements. |
Derivative Instruments Policy | The Company periodically uses forward currency exchange contracts to minimize the effects of foreign currency risk in Brazil and the United Kingdom. The forward currency exchange contracts are non-designated derivatives. Any gain or loss resulting from these contracts is recorded as income or loss and is included in “Foreign currency transaction gain (loss), net” in the Company’s consolidated statements of income. |
Significant Accounting Polici31
Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Accounting Policies [Abstract] | |
Schedule of Property and Equipment Estimated Useful Lives | Depreciation expense is generally provided on a straight-line basis, using the following estimated useful lives: Computer hardware and software 3 to 5 years Furniture, fixtures and equipment 3 to 7 years Leasehold improvements (1) 3 to 10 years (1) Leasehold improvements are depreciated over the lesser of the estimated useful life, remaining lease term, or 10 years. |
Schedule of Reconciliation of Numerators and Denominators of Basic and Diluted Earnings per Share Computations | The following table sets forth the reconciliation of numerators and denominators of basic and diluted earnings per share computations for the years ended December 31, 2017 2016 2015 Year Ended December 31, 2017 2016 2015 Numerator: Net income $ 29,240 $ 34,602 $ 43,992 Denominator: Total weighted average basic shares 33,523 33,192 33,006 Shares applicable to stock-based compensation 609 270 20 Total weighted average diluted shares 34,132 33,462 33,026 Earnings per share – basic $ 0.87 $ 1.04 $ 1.33 Earnings per share – diluted $ 0.86 $ 1.03 $ 1.33 |
Loans and Finance Receivables32
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Receivables [Abstract] | |
Schedule of Revenue Generated from Loans and Finance Receivables | Revenue generated from the Company’s loans and finance receivables for the years ended December 31, 2017, 2016 and 2015 was as follows (in thousands): Year Ended December 31, 2017 2016 2015 Short-term loans $ 197,408 $ 196,255 $ 204,893 Line of credit accounts 262,760 220,462 185,521 Installment loans and RPAs 382,683 327,375 260,507 Total loans and finance receivables revenue 842,851 744,092 650,921 Other 890 1,477 1,679 Total Revenue $ 843,741 $ 745,569 $ 652,600 |
Components of Company-Owned Loans and Finance Receivables | The components of Company-owned loans and finance receivables at December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Current receivables $ 45,552 $ 161,070 $ 537,634 $ 744,256 Delinquent receivables: Delinquent payment amounts (1) — 7,696 3,635 11,331 Receivables on non-accrual status 28,120 1,302 42,740 72,162 Total delinquent receivables 28,120 8,998 46,375 83,493 Total loans and finance receivables, gross 73,672 170,068 584,009 827,749 Less: Allowance for losses (19,917 ) (31,148 ) (71,979 ) (123,044 ) Loans and finance receivables, net $ 53,755 $ 138,920 $ 512,030 $ 704,705 As of December 31, 2016 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Current receivables $ 35,516 $ 130,576 $ 413,638 $ 579,730 Delinquent receivables: Delinquent payment amounts (1) — 4,560 2,110 6,670 Receivables on non-accrual status 27,489 9,047 37,559 74,095 Total delinquent receivables 27,489 13,607 39,669 80,765 Total loans and finance receivables, gross 63,005 144,183 453,307 660,495 Less: Allowance for losses (17,770 ) (26,594 ) (54,581 ) (98,945 ) Loans and finance receivables, net $ 45,235 $ 117,589 $ 398,726 $ 561,550 (1) Represents the delinquent portion of installment loans and line of credit account balances for customers that have only missed one payment. See Note 1 “Significant Accounting Policies-Current and Delinquent Loans and Finance Receivables” for additional information. |
Schedule of Changes in Allowance for Losses | Changes in the allowance for losses for the Company-owned loans and finance receivables and the liability for estimated losses on the Company’s guarantees of third-party lender-owned loans through the CSO programs for the years ended December 31, 2017, 2016 and 2015 were as follows (in thousands): Year Ended December 31, 2017 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 17,770 $ 26,594 $ 54,581 $ 98,945 Cost of revenue 77,775 93,416 225,179 396,370 Charge-offs (98,243 ) (102,725 ) (254,109 ) (455,077 ) Recoveries 22,089 13,863 45,773 81,725 Effect of foreign currency translation 526 — 555 1,081 Balance at end of period $ 19,917 $ 31,148 $ 71,979 $ 123,044 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,716 $ — $ 280 $ 1,996 Increase (decrease) in liability 389 — (127 ) 262 Balance at end of period $ 2,105 $ — $ 153 $ 2,258 Year Ended December 31, 2016 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 14,652 $ 15,727 $ 36,943 $ 67,322 Cost of revenue 69,202 88,489 170,035 327,726 Charge-offs (85,599 ) (92,044 ) (182,471 ) (360,114 ) Recoveries 20,362 14,422 29,804 64,588 Effect of foreign currency translation (847 ) — 270 (577 ) Balance at end of period $ 17,770 $ 26,594 $ 54,581 $ 98,945 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,298 $ — $ 458 $ 1,756 Increase (decrease) in liability 418 — (178 ) 240 Balance at end of period $ 1,716 $ — $ 280 $ 1,996 Year Ended December 31, 2015 Short-term Line of Credit Installment Loans and Loans Accounts RPAs Total Allowance for losses for Company-owned loans and finance receivables: Balance at beginning of period $ 14,324 $ 19,749 $ 30,875 $ 64,948 Cost of revenue 62,571 43,547 110,560 216,678 Charge-offs (83,316 ) (68,075 ) (129,537 ) (280,928 ) Recoveries 21,374 20,694 25,585 67,653 Effect of foreign currency translation (301 ) (188 ) (540 ) (1,029 ) Balance at end of period $ 14,652 $ 15,727 $ 36,943 $ 67,322 Liability for third-party lender-owned loans: Balance at beginning of period $ 1,575 $ — $ 1 $ 1,576 (Decrease) increase in liability (277 ) — 457 180 Balance at end of period $ 1,298 $ — $ 458 $ 1,756 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Property Plant And Equipment [Abstract] | |
Classifications of Property and Equipment | Major classifications of property and equipment at December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 Cost Accumulated Depreciation Net Computer software $ 82,757 $ (56,282 ) $ 26,475 Furniture, fixtures and equipment 33,834 (25,912 ) 7,922 Leasehold improvements 25,196 (11,068 ) 14,128 Total $ 141,787 $ (93,262 ) $ 48,525 As of December 31, 2016 Cost Accumulated Depreciation Net Computer software $ 72,277 $ (48,680 ) $ 23,597 Furniture, fixtures and equipment 30,974 (22,159 ) 8,815 Leasehold improvements 24,267 (9,579 ) 14,688 Total $ 127,518 $ (80,418 ) $ 47,100 |
Goodwill and Other Intangible34
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Changes in Carrying Value of Goodwill | Changes in the carrying value of goodwill for the years ended December 31, 2017 and 2016 were as follows (in thousands): Balance as of January 1, 2016 $ 267,008 Effect of foreign currency translation 2 Balance as of December 31, 2016 $ 267,010 Effect of foreign currency translation 5 Balance as of December 31, 2017 $ 267,015 |
Summary of Acquired Intangible Assets | Acquired intangible assets that are subject to amortization as of December 31, 2017 and 2016, were as follows (in thousands): As of December 31, 2017 Cost Accumulated Amortization Net Customer relationships $ 3,536 $ (3,136 ) $ 400 Lead provider and broker relationships 5,689 (4,089 ) 1,600 Trademarks 2,595 (670 ) 1,925 Non-competition agreements 800 (400 ) 400 Total $ 12,620 $ (8,295 ) $ 4,325 As of December 31, 2016 Cost Accumulated Amortization Net Customer relationships $ 3,533 $ (2,973 ) $ 560 Lead provider and broker relationships 5,689 (3,449 ) 2,240 Trademarks 2,590 (546 ) 2,044 Non-competition agreements 800 (240 ) 560 Total $ 12,612 $ (7,208 ) $ 5,404 |
Summary of Estimated Future Amortization Expense | Estimated future amortization expense for the years ended December 31, is as follows (in thousands): Year Amount 2018 $ 1,070 2019 1,070 2020 590 2021 110 2022 110 |
Accounts Payable and Accrued 35
Accounts Payable and Accrued Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Payables And Accruals [Abstract] | |
Schedule of Accounts Payable and Accrued Expenses | Accounts payable and accrued expenses at December 31, 2017, 2016 were as follows (in thousands): As of December 31, 2017 2016 Trade accounts payable $ 25,579 $ 25,420 Accrued payroll and fringe benefits 14,877 14,165 Accrued interest payable 11,064 5,043 Deferred finish out allowance 7,979 8,939 Deferred fees on third-party consumer loans 7,074 6,869 Accrual for consumer loan payments rejected for non-sufficient funds 5,096 3,680 Promissory note 3,000 3,000 Liability for losses on third-party lender owned consumer loans 2,258 1,996 Contingent consideration — 2,358 Other accrued liabilities 196 201 Total $ 77,123 $ 71,671 |
Marketing Expenses (Tables)
Marketing Expenses (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Marketing Expenses [Abstract] | |
Schedule of Marketing Expenses | Marketing expenses for the years ended December 31, 2017, 2016 and 2015 were as follows (in thousands): Year Ended December 31, 2017 2016 2015 Advertising $ 64,186 $ 66,184 $ 80,526 Customer procurement expense including lead purchase costs 37,224 30,551 29,327 Customer referral and revenue sharing expense 19 669 7,029 Total $ 101,429 $ 97,404 $ 116,882 |
Long-term Debt (Tables)
Long-term Debt (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |
Summary of Long-Term Debt Instruments and Balances Outstanding | The Company’s long-term debt instruments and balances outstanding as of December 31, 2017 2016 December 31, 2017 2016 Securitization notes $ 211,406 $ 165,419 9.75% senior notes due 2021 342,558 495,622 8.50% senior notes due 2024 250,000 — Subtotal 803,964 661,041 Less: Long-term debt issuance costs (15,422 ) (11,130 ) Total long-term debt $ 788,542 $ 649,911 |
Schedule of Maturities of Long-term Debt | As of December 31, 2017, required principal payments under the terms of the long-term debt for each of the five years after December 31, 2017 are as follows (in thousands): Year Amount 2018 $ — 2019 — 2020 — 2021 345,000 (1 ) 2022 — Thereafter 250,000 (2 ) Securitization 211,406 (3 ) Total $ 806,406 (1) (2) The $250.0 million 8.50% Senior Unsecured Notes mature September 1, 2024 (3) The 2016-1 Securitization Facility matures at various dates, the latest of which will be April 15, 2021, and the 2016-2 Facility matures on December 1, 2019. |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities | The components of the Company’s deferred tax assets and liabilities as of December 31, 2017 and 2016 were as follows (in thousands): As of December 31, 2017 2016 Deferred tax assets: Loans and finance receivables, net $ 27,444 $ 38,275 Compensation and benefits 4,423 7,397 Translation adjustments 2,531 6,726 Accrued rent and deferred finish out allowance 2,786 4,372 Foreign net operating loss carryforward 2,164 1,449 Other 1,441 1,960 Total deferred tax assets $ 40,789 $ 60,179 Deferred tax liabilities: Amortizable intangible assets $ 42,334 $ 60,762 Property and equipment 7,760 11,443 Other 153 483 Total deferred tax liabilities $ 50,247 $ 72,688 Net deferred tax liabilities before valuation allowance $ (9,458 ) $ (12,509 ) Valuation allowance (2,650 ) (1,807 ) Net deferred tax liabilities $ (12,108 ) $ (14,316 ) |
Schedule of Components of Income Tax Expense (Benefit) | The components of the provision for income taxes and the income to which it relates for the years ended December 31, 2017, 2016 and 2015 are shown below (in thousands): Year Ended December 31, 2017 2016 2015 Income before income taxes: Domestic $ 37,900 $ 57,422 $ 70,519 International — 14 — Income before income taxes $ 37,900 $ 57,436 $ 70,519 Current provision (benefit): Federal $ 11,366 $ 22,656 $ 25,601 International (3 ) 94 114 State and local 2,045 2,347 2,211 Total current provision for income taxes $ 13,408 $ 25,097 $ 27,926 Deferred benefit: Federal $ (4,461 ) $ (2,152 ) $ (1,360 ) International — — — State and local (287 ) (111 ) (39 ) Total deferred benefit for income taxes $ (4,748 ) $ (2,263 ) $ (1,399 ) Total provision for income taxes $ 8,660 $ 22,834 $ 26,527 |
Schedule of Effective Income Tax Rate Reconciliation | The effective tax rate on income differs from the federal statutory rate of 35% for the following reasons (dollars in thousands): Year Ended December 31, 2017 2016 2015 Tax provision computed at the federal statutory income tax rate $ 13,265 $ 20,103 $ 24,682 Deferred tax impact of tax reform (7,491 ) — — State and local income taxes, net of federal tax benefits 1,440 1,401 1,408 Share based compensation (1,005 ) 1,656 — Foreign exchange gain 724 — — Other 1,727 (326 ) 437 Total provision $ 8,660 $ 22,834 $ 26,527 Effective tax rate 22.9 % 39.8 % 37.6 % |
Summary of Valuation Account Activity | The following table summarizes the valuation account activity for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Balance at beginning of period $ 1,807 $ 1,220 $ 670 Additions 843 587 550 Deductions — — — Balance at end of period $ 2,650 $ 1,807 $ 1,220 |
Reconciliation of Activity Related to Unrecognized Tax Benefits | A reconciliation of the activity related to unrecognized tax benefits follows for the fiscal years indicated (in thousands): Year Ended December 31, 2017 2016 Balance at beginning of period $ 351 $ — Additions based on tax positions related to the current year 229 118 Additions for tax positions of prior years 147 233 Balance at end of period $ 727 $ 351 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | |
Future Minimum Rentals Due Under Non-Cancelable Leases | Future minimum rentals due under non-cancelable leases as of December 31, 2017 are as follows for each of the years ending December 31 (in thousands): Year Amount 2018 $ 6,020 2019 6,875 2020 6,719 2021 6,922 2022 6,970 Thereafter 30,378 Total $ 63,884 |
Exit and Disposal Activity and Liability Balances | The following table is a summary of the exit and disposal activity and liability balances as a result of the headquarters relocation (in thousands): Lease Termination Costs Other Exit Costs Total Balance at January 1, 2016 $ 1,425 $ 204 $ 1,629 Payments (1,132 ) — (1,132 ) Adjustments 344 (69 ) 275 Balance at December 31, 2016 $ 637 $ 135 $ 772 Balance at January 1, 2017 $ 637 $ 135 $ 772 Payments (554 ) (9 ) (563 ) Adjustments (83 ) (126 ) (209 ) Balance at December 31, 2017 $ — $ — $ — |
Employee Benefit Plans (Tables)
Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Compensation And Retirement Disclosure [Abstract] | |
Schedule of Amounts Included in Consolidated Balance Sheets Relating to NQSP and SERP | Amounts included in the consolidated balance sheets relating to the NQSP and the SERP were as follows (in thousands): As of December 31, 2017 2016 Prepaid expenses and other assets $ 1,460 $ 1,590 Accounts payable and accrued expenses $ 1,993 $ 1,860 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) - Enova LTIP | 12 Months Ended |
Dec. 31, 2017 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Restricted Stock Unit Activity | The following table summarizes the Company’s restricted stock unit activity during 2017, 2016 2015 Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 Units Weighted Average Fair Value at Date of Grant Units Weighted Average Fair Value at Date of Grant Units Weighted Average Fair Value at Date of Grant Outstanding at beginning of year 1,359,057 $ 9.49 641,878 $ 20.55 549,707 $ 23.04 Units granted 763,727 14.70 1,189,136 6.67 356,064 18.39 Shares issued (563,689 ) 9.68 (213,437 ) 19.65 (151,088 ) 22.62 Units forfeited (133,212 ) 11.62 (258,520 ) 15.65 (112,805 ) 23.04 Outstanding at end of year 1,425,883 $ 12.00 1,359,057 $ 9.49 641,878 $ 20.55 |
Summary of Stock Option Activity | The following table summarizes the Company’s stock option activity during 2017, 2016 2015 Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 Units Weighted Average Exercise Price Units Weighted Average Exercise Price Units Weighted Average Exercise Price Outstanding at beginning of year 1,587,056 $ 17.98 1,891,153 $ 21.44 1,425,196 $ 23.04 Options granted 590,988 14.80 337,081 6.29 785,294 19.19 Options exercised (4,459 ) 6.29 — — — — Options forfeited (119,493 ) 21.02 (641,178 ) 22.01 (319,337 ) 23.04 Outstanding at end of year 2,054,092 $ 16.92 1,587,056 $ 17.98 1,891,153 $ 21.44 Options vested at end of year 1,165,837 19.94 734,896 21.67 475,127 23.05 |
Derivative Instruments (Tables)
Derivative Instruments (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Assets at Fair Value | The following table presents information related to the Company’s derivative instruments as of December 31, 2017 (in thousands): Non-designated derivatives: As of December 31, 2017 Gross Amounts Gross Amounts Net Amounts of Assets of Recognized Offset in the Presented in the Notional Financial Consolidated Consolidated Balance Forward currency exchange contracts Amount Instruments Balance Sheets (1) Sheets (2) Assets $ — $ — $ — $ — Liabilities $ 12,039 $ 55 $ — $ 55 (1) As of December 31, 2017, the Company had no gross amounts of recognized derivative instruments that the Company makes an accounting policy election not to offset. In addition, there was no financial collateral related to the Company’s derivatives. The Company has no assets or liabilities that are subject to an enforceable master netting agreement or similar arrangement. (2) Represents the fair value of forward currency contracts, which is recorded in “Accounts payable and accrued expenses” in the consolidated balance sheets. |
Effect Of Derivative Instruments | The following table presents information on the effect of derivative instruments on the consolidated results of operations and AOCI for years ended December 31, 2017, 2016 and 2015 (in thousands): Gains (Losses) Gains (Losses) Gains (Losses) Reclassified From Recognized in Income Recognized in AOCI AOCI into Income Year Ended December 31, Year Ended December 31, Year Ended December 31, 2017 2016 2015 2017 2016 2015 2017 2016 2015 Non-designated derivatives: Forward currency exchange contracts (1) $ (55 ) $ 3,020 $ 4,525 $ — $ — $ — $ — $ — $ — Total $ (55 ) $ 3,020 $ 4,525 $ — $ — $ — $ — $ — $ — (1) The gains (losses) on these derivatives substantially offset the (losses) gains on the hedged portion of the foreign intercompany balances. |
Variable Interest Entities (Tab
Variable Interest Entities (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Variable Interest Entities [Abstract] | |
Summary of Carrying Amounts of Consolidated VIE Assets and Liabilities | The carrying amounts of consolidated VIE assets and liabilities associated with the Company’s securitization entities were as follows (in thousands): December 31, 2017 2016 Assets Restricted cash and cash equivalents $ 21,696 $ 19,468 Loans and finance receivables, net 259,996 216,766 Other receivables and prepaid expenses — 3 Other assets 178 2,459 Total assets $ 281,870 $ 238,696 Liabilities Accounts payable and accrued expenses $ 1,671 $ 1,350 Long-term debt 208,135 163,550 Total liabilities $ 209,806 $ 164,900 |
Supplemental Disclosures of C44
Supplemental Disclosures of Cash Flow information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Supplemental Cash Flow Elements [Abstract] | |
Schedule of Cash and Non-Cash Activities | The following table sets forth certain cash and non-cash activities for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Cash paid during the year for: Interest $ 63,529 $ 59,609 $ 49,390 Income taxes paid 17,263 19,213 40,759 Non-cash investing and financing activities: Loans and finance receivables renewed $ 322,648 $ 310,425 $ 253,279 Liabilities assumed in acquisitions — — 8,658 |
Operating Segment Information (
Operating Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Segment Reporting [Abstract] | |
Summary of Domestic and International Operations | The following tables present information on the Company’s domestic and international operations as of and for the years ended December 31, 2017, 2016 and 2015 (in thousands). Year Ended December 31, 2017 2016 2015 Revenue Domestic $ 709,537 $ 622,991 $ 510,242 International 134,204 122,578 142,358 Total revenue $ 843,741 $ 745,569 $ 652,600 Income from operations Domestic $ 233,065 $ 204,084 $ 183,582 International 6,147 19,787 42,787 Corporate services (104,798 ) (102,394 ) (101,982 ) Total income from operations $ 134,414 $ 121,477 $ 124,387 Depreciation and amortization Domestic $ 6,769 $ 6,005 $ 7,920 International 1,539 2,167 2,254 Corporate services 6,080 7,392 8,214 Total depreciation and amortization $ 14,388 $ 15,564 $ 18,388 Expenditures for property and equipment Domestic $ 6,449 $ 6,955 $ 6,268 International 4,589 3,158 3,797 Corporate services 5,490 4,283 22,176 Total expenditures for property and equipment $ 16,528 $ 14,396 $ 32,241 December 31, 2017 2016 Property and equipment, net Domestic $ 25,732 $ 19,734 International 7,670 5,410 Corporate services 15,123 21,956 Total property and equipment, net $ 48,525 $ 47,100 Assets Domestic $ 964,697 $ 823,390 International 133,449 96,606 Corporate services 61,314 57,883 Total assets $ 1,159,460 $ 977,879 |
Summary of Company's Revenue by Geographical Region | The following table presents the Company’s revenue by geographic region for the years ended December 31, 2017, 2016 and 2015 (in thousands): Year Ended December 31, 2017 2016 2015 Revenue United States $ 709,537 $ 622,991 $ 510,242 United Kingdom 114,838 103,478 129,703 Other international countries 19,366 19,100 12,655 Total revenue $ 843,741 $ 745,569 $ 652,600 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Assets and Liabilities Measured on Recurring Basis | The Company’s financial assets that are measured at fair value on a recurring basis as of December 31, 2017 and 2016 are as follows (in thousands): December 31, Fair Value Measurements Using 2017 Level 1 Level 2 Level 3 Financial assets (liabilities) Forward currency exchange contracts $ (55 ) $ — $ (55 ) $ — Nonqualified savings plan assets (1) 1,460 1,460 — — Total $ 1,405 $ 1,460 $ (55 ) $ — December 31, Fair Value Measurements Using 2016 Level 1 Level 2 Level 3 Financial assets (liabilities) Nonqualified savings plan assets (1) $ 1,590 $ 1,590 $ — $ — Contingent consideration (2,358 ) — — (2,358 ) Total $ (768 ) $ 1,590 $ — $ (2,358 ) (1) The non-qualified savings plan assets have an offsetting liability of a greater amount, which is included in “Accounts payable and accrued expenses” in the Company’s consolidated balance sheets. |
Fair Value Measurement for Contingent Consideration | The changes in the fair value of the contingent consideration, which is a Level 3 liability measured at fair value on a recurring basis, are summarized in the table below for the years ended December 31, 2017 and 2016 (in thousands): Fair Value Measurements Using Significant Unobservable Inputs (Level 3) Contingent consideration Total Balance at December 31, 2015 $ 5,658 $ 5,658 Remeasurement of contingent consideration (see Note 2) (3,300 ) (3,300 ) Balance at December 31, 2016 $ 2,358 $ 2,358 Remeasurement of contingent consideration (see Note 2) (2,358 ) (2,358 ) Balance at December 31, 2017 $ — $ — |
Financial Assets and Liabilities Not Measured at Fair Value | The Company’s financial assets and liabilities as of December 31, 2017 and 2016 that are not measured at fair value in the consolidated balance sheets are as follows (in thousands): December 31, Fair Value Measurements Using 2017 Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 68,684 $ 68,684 $ — $ — Short-term loans and line of credit accounts, net (1) 192,675 — — 192,675 Installment loans and RPAs, net (1) 512,030 — — 544,799 Restricted cash 29,460 29,460 — — Investment in unconsolidated investee (2)(3) 6,703 — — 6,703 Total $ 809,552 $ 98,144 $ — $ 744,177 Financial liabilities: Liability for estimated losses on consumer loans guaranteed by the Company $ 2,258 $ — $ — $ 2,258 Promissory note 3,000 — — 3,287 Securitization Notes 211,406 — 215,063 — 9.75% senior notes due 2021 342,558 — 365,700 — 8.50% senior notes due 2024 250,000 — 255,000 — Total $ 809,222 $ — $ 835,763 $ 5,545 December 31, Fair Value Measurements Using 2016 Level 1 Level 2 Level 3 Financial assets: Cash and cash equivalents $ 39,934 $ 39,934 $ — $ — Short-term loans and line of credit accounts, net (1) 162,824 — — 162,824 Installment loans and RPAs, net (1) 398,726 — — 430,895 Restricted cash 26,306 26,306 — — Investment in unconsolidated investee (2)(3) 6,703 — — 6,703 Total $ 634,493 $ 66,240 $ — $ 600,422 Financial liabilities: Liability for estimated losses on consumer loans guaranteed by the Company $ 1,996 $ — $ — $ 1,996 Promissory note 3,000 — — 3,111 Securitization Notes 165,419 — 168,216 — 9.75% senior notes due 2021 495,622 — 495,940 — Total $ 666,037 $ — $ 664,156 $ 5,107 (1) Short-term loans, line of credit accounts and installment loans and RPAs are included in “Loans and finance receivables, net” in the consolidated balance sheets. (2) Investment in unconsolidated investee is included in “Other assets” in the consolidated balance sheets. (3) See Note 1 for additional information related to the investment in unconsolidated investee. |
Condensed Consolidating Finan47
Condensed Consolidating Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Consolidating Balance Sheets | CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ 12,183 $ 54,659 $ 1,842 $ — $ 68,684 Restricted cash — 7,764 21,696 — 29,460 Loans and finance receivables, net — 442,516 262,189 — 704,705 Income taxes receivable 114,494 (110,852 ) 450 — 4,092 Other receivables and prepaid expenses 833 20,731 2,253 — 23,817 Property and equipment, net — 47,965 560 — 48,525 Goodwill — 267,015 — — 267,015 Intangible assets, net — 4,325 — — 4,325 Investment in subsidiaries 388,538 63,956 — (452,494 ) — Intercompany receivable 354,457 — — (354,457 ) — Other assets 1,785 6,874 178 — 8,837 Total assets $ 872,290 $ 804,953 $ 289,168 $ (806,951 ) $ 1,159,460 Liabilities and Stockholders' Equity Accounts payable and accrued expenses $ 10,336 $ 64,541 $ 2,246 $ — $ 77,123 Intercompany payables — 331,425 23,032 (354,457 ) — Deferred tax liabilities, net (140 ) 12,726 (478 ) — 12,108 Long-term debt 580,407 — 208,135 — 788,542 Total liabilities 590,603 408,692 232,935 (354,457 ) 877,773 Commitments and contingencies Stockholders' equity 281,687 396,261 56,233 (452,494 ) 281,687 Total liabilities and stockholders' equity $ 872,290 $ 804,953 $ 289,168 $ (806,951 ) $ 1,159,460 CONDENSED CONSOLIDATING BALANCE SHEETS As of December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Assets Cash and cash equivalents $ — $ 36,057 $ 3,877 $ — $ 39,934 Restricted cash — 6,838 19,468 — 26,306 Loans and finance receivables, net — 335,161 226,390 — 561,550 Income taxes receivable — — — — — Other receivables and prepaid expenses 127 19,095 302 — 19,524 Property and equipment, net — 46,507 593 — 47,100 Goodwill — 267,010 — — 267,010 Intangible assets, net — 5,400 4 — 5,404 Investment in subsidiaries 294,647 25,131 — (319,778 ) — Intercompany receivable 363,941 — — (363,941 ) — Other assets 597 7,995 2,459 — 11,051 Total assets $ 659,312 $ 749,194 $ 253,093 $ (683,719 ) $ 977,879 Liabilities and Stockholders' Equity Accounts payable and accrued expenses $ 4,310 $ 65,714 $ 1,647 $ — $ 71,671 Intercompany payables — 295,764 68,179 (363,943 ) — Income taxes currently payable (72,704 ) 73,006 (20 ) — 282 Deferred tax liabilities, net (354 ) 15,156 (486 ) — 14,316 Long-term debt 486,361 — 163,550 — 649,911 Total liabilities 417,613 449,640 232,870 (363,943 ) 736,180 Commitments and contingencies Stockholders' equity 241,699 299,554 20,223 (319,777 ) 241,699 Total liabilities and stockholders' equity $ 659,312 $ 749,194 $ 253,093 $ (683,720 ) $ 977,879 |
Condensed Consolidating Statements of Income and Comprehensive Income | CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 696,446 $ 151,233 $ (3,938 ) $ 843,741 Cost of Revenue — 313,815 82,817 — 396,632 Gross Profit — 382,631 68,416 (3,938 ) 447,109 Expenses Marketing — 99,522 1,907 — 101,429 Operations and technology — 85,899 10,660 (1,404 ) 95,155 General and administrative 360 97,762 6,135 (2,534 ) 101,723 Depreciation and amortization — 14,209 179 — 14,388 Total Expenses 360 297,392 18,881 (3,938 ) 312,695 (Loss) Income from Operations (360 ) 85,239 49,535 — 134,414 Interest expense, net (55,506 ) (152 ) (18,345 ) — (74,003 ) Foreign currency transaction gain 381 3 — — 384 (Loss) gain on early extinguishment of debt (14,927 ) (8,594 ) 626 — (22,895 ) (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (70,412 ) 76,496 31,816 — 37,900 (Benefit from) provision for income taxes (16,089 ) 17,479 7,270 — 8,660 (Loss) Income before Equity in Net Earnings of Subsidiaries (54,323 ) 59,017 24,546 — 29,240 Net earnings of subsidiaries 83,563 24,546 — (108,109 ) — Net Income (Loss) $ 29,240 $ 83,563 $ 24,546 $ (108,109 ) $ 29,240 Other comprehensive gain (loss), net of tax: Foreign currency translation gain (loss) 4,492 4,963 (471 ) (4,492 ) 4,492 Total other comprehensive gain (loss), net of tax 4,492 4,963 (471 ) (4,492 ) 4,492 Comprehensive Income (Loss) $ 33,732 $ 88,526 $ 24,075 $ (112,601 ) $ 33,732 CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 653,517 $ 95,646 $ (3,594 ) $ 745,569 Cost of Revenue — 260,996 66,970 — 327,966 Gross Profit — 392,521 28,676 (3,594 ) 417,603 Expenses Marketing — 95,972 1,432 — 97,404 Operations and technology — 80,999 4,203 — 85,202 General and administrative 315 95,840 5,395 (3,594 ) 97,956 Depreciation and amortization — 15,464 100 — 15,564 Total Expenses 315 288,275 11,130 (3,594 ) 296,126 (Loss) Income from Operations (315 ) 104,246 17,546 — 121,477 Interest expense, net (53,512 ) 562 (12,653 ) — (65,603 ) Foreign currency transaction gain (loss) 1,569 (7 ) — — 1,562 (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (52,258 ) 104,801 4,893 — 57,436 Provision for income taxes (20,776 ) 41,665 1,945 — 22,834 (Loss) Income before Equity in Net Earnings of Subsidiaries (31,482 ) 63,136 2,948 — 34,602 Net earnings of subsidiaries 66,084 2,948 — (69,032 ) — Net Income (Loss) $ 34,602 $ 66,084 $ 2,948 $ (69,032 ) $ 34,602 Other comprehensive (loss) gain, net of tax: Foreign currency translation (loss) gain (6,956 ) (8,269 ) 1,331 6,938 (6,956 ) Total other comprehensive (loss) gain, net of tax (6,956 ) (8,269 ) 1,331 6,938 (6,956 ) Comprehensive Income (Loss) $ 27,646 $ 57,815 $ 4,279 $ (62,094 ) $ 27,646 CONDENSED CONSOLIDATING STATEMENTS OF INCOME AND COMPREHENSIVE INCOME For the Year Ended December 31, 2015 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Revenue $ — $ 650,295 $ 2,305 $ — $ 652,600 Cost of Revenue — 215,637 1,221 — 216,858 Gross Profit — 434,658 1,084 — 435,742 Expenses Marketing — 116,330 552 — 116,882 Operations and technology — 71,993 2,019 — 74,012 General and administrative 673 100,642 758 — 102,073 Depreciation and amortization — 18,350 38 — 18,388 Total Expenses 673 307,315 3,367 — 311,355 (Loss) Income from Operations (673 ) 127,343 (2,283 ) — 124,387 Interest expense, net (52,816 ) (71 ) 4 — (52,883 ) Foreign currency transaction gain (loss) 532 (1,516 ) (1 ) — (985 ) (Loss) Income before Income Taxes and Equity in Net Earnings of Subsidiaries (52,957 ) 125,756 (2,280 ) — 70,519 (Benefit from) provision for income taxes (19,921 ) 47,306 (858 ) — 26,527 (Loss) Income before Equity in Net Earnings of Subsidiaries (33,036 ) 78,450 (1,422 ) — 43,992 Net earnings of subsidiaries 77,028 (1,422 ) — (75,606 ) — Net Income (Loss) $ 43,992 $ 77,028 $ (1,422 ) $ (75,606 ) $ 43,992 Other comprehensive (loss) gain, net of tax: Foreign currency translation (loss) gain (1,451 ) (245 ) (866 ) 1,111 (1,451 ) Total other comprehensive (loss) gain, net of tax (1,451 ) (245 ) (866 ) 1,111 (1,451 ) Comprehensive Income (Loss) $ 42,541 $ 76,783 $ (2,288 ) $ (74,495 ) $ 42,541 |
Condensed Consolidating Statements of Cash Flows | CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2017 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ (50,319 ) $ 616,042 $ (91,660 ) $ (26,890 ) $ 447,173 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,401,302 ) (29,720 ) 11,623 (1,419,399 ) Securitized loans transferred — 231,863 (231,863 ) — — Loans and finance receivables repaid — 621,495 299,682 (11,623 ) 909,554 Change in restricted cash — (337 ) (2,228 ) — (2,565 ) Purchases of property and equipment — (16,375 ) (153 ) — (16,528 ) Capital contributions to subsidiaries — (11,935 ) — 11,935 — Other investing activities — 1,805 — — 1,805 Net cash (used in) provided by investing activities — (574,786 ) 35,718 11,935 (527,133 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — (26,890 ) 11,935 14,955 — Debt issuance costs paid (10,753 ) — (3,909 ) — (14,662 ) Debt prepayment penalty (16,694 ) — — — (16,694 ) Treasury shares purchased (5,079 ) — — — (5,079 ) Issuance of Senior Notes 250,000 — — — 250,000 Repayments of Senior Notes (155,000 ) — — — (155,000 ) Borrowings under revolving line of credit 30,000 — — — 30,000 Repayments under revolving line of credit (30,000 ) — — — (30,000 ) Borrowings under securitization facility — — 359,842 — 359,842 Repayments under securitization facility — — (313,853 ) — (313,853 ) Proceeds from exercise of stock options 28 — — — 28 Net cash provided by (used in) financing activities 62,502 (26,890 ) 54,015 14,955 104,582 Effect of exchange rates on cash — 4,236 (108 ) — 4,128 Net increase (decrease) in cash and cash equivalents 12,183 18,602 (2,035 ) — 28,750 Cash and cash equivalents at beginning of year — 36,057 3,877 — 39,934 Cash and cash equivalents at end of period $ 12,183 $ 54,659 $ 1,842 $ — $ 68,684 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2016 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ 59,337 $ 296,876 $ 37,859 $ (699 ) $ 393,373 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,293,273 ) (14,924 ) — (1,308,197 ) Securitized loans transferred — 359,000 (359,000 ) — — Loans and finance receivables repaid — 669,088 188,960 — 858,048 Change in restricted cash — (658 ) (19,468 ) — (20,126 ) Purchases of property and equipment — (14,007 ) (389 ) — (14,396 ) Capital contributions to subsidiaries — (10,255 ) — 10,255 — Other investing activities — 95 — — 95 Net cash used in investing activities — (290,010 ) (204,821 ) 10,255 (484,576 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — (699 ) 10,255 (9,556 ) — Debt issuance costs paid (500 ) — (6,202 ) — (6,702 ) Treasury shares purchased (437 ) — — — (437 ) Borrowings under revolving line of credit 58,400 — — — 58,400 Repayments under revolving line of credit, net (116,800 ) — — — (116,800 ) Borrowings under securitization facility — — 280,075 — 280,075 Repayments under securitization facility — — (114,656 ) — (114,656 ) Net cash provided by (used in) provided by financing activities (59,337 ) (699 ) 169,472 (9,556 ) 99,880 Effect of exchange rates on cash — (11,037 ) 228 — (10,809 ) Net (decrease) increase in cash and cash equivalents — (4,870 ) 2,738 — (2,132 ) Cash and cash equivalents at beginning of year — 40,927 1,139 — 42,066 Cash and cash equivalents at end of period $ — $ 36,057 $ 3,877 $ — $ 39,934 CONDENSED CONSOLIDATING STATEMENTS OF CASH FLOWS For the Year Ended December 31, 2015 (in thousands) Guarantor Non-Guarantor Parent Subsidiaries Subsidiaries Eliminations Consolidated Cash Flows from Operating Activities $ 31,259 $ 331,954 $ (2,695 ) $ (76,597 ) $ 283,921 Cash Flows from Investing Activities Loans and finance receivables originated or acquired — (1,167,107 ) (5,062 ) — (1,172,169 ) Loans and finance receivables repaid — 849,638 (280 ) — 849,358 Acquisitions — (17,735 ) — — (17,735 ) Purchases of property and equipment — (31,977 ) (264 ) — (32,241 ) Capital contributions to subsidiaries (87,876 ) (7,255 ) — 95,131 — Other investing activities — 618 — — 618 Net cash used in investing activities (87,876 ) (373,818 ) (5,606 ) 95,131 (372,169 ) Cash Flows from Financing Activities (Payments for) proceeds from member's equity — 11,279 7,255 (18,534 ) — Debt issuance costs paid (1,596 ) — — — (1,596 ) Treasury shares purchased (187 ) — — — (187 ) Borrowings under revolving line of credit 63,400 — — — 63,400 Repayments under revolving line of credit (5,000 ) — — — (5,000 ) Net cash provided by (used in) financing activities 56,617 11,279 7,255 (18,534 ) 56,617 Effect of exchange rates on cash — (855 ) (554 ) — (1,409 ) Net decrease in cash and cash equivalents — (31,440 ) (1,600 ) — (33,040 ) Cash and cash equivalents at beginning of year — 72,367 2,739 — 75,106 Cash and cash equivalents at end of period $ — $ 40,927 $ 1,139 $ — $ 42,066 |
Quarterly Financial Data (Una48
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |
Summary of Quarterly Financial Data | The following is a summary of the quarterly results of operations for the years ended December 31, 2017 and 2016 (in thousands, except per share data): First Second Third Fourth Quarter Quarter Quarter Quarter 2017 Total Revenue $ 192,263 $ 189,904 $ 217,878 $ 243,696 Cost of Revenue 81,884 79,862 107,341 127,545 Gross Profit $ 110,379 $ 110,042 $ 110,537 $ 116,151 Net Income (Loss) $ 13,852 $ 11,873 $ (3,368 ) $ 6,883 Diluted earnings per share $ 0.41 $ 0.35 $ (0.10 ) $ 0.20 Diluted weighted average common shares (1) 34,036 34,125 33,670 34,172 2016 Total Revenue $ 174,653 $ 172,535 $ 195,943 $ 202,438 Cost of Revenue 69,577 65,453 95,391 97,545 Gross Profit $ 105,076 $ 107,082 $ 100,552 $ 104,893 Net Income $ 9,863 $ 8,188 $ 7,837 $ 8,714 Diluted earnings per share $ 0.30 $ 0.25 $ 0.23 $ 0.26 Diluted weighted average common shares (1) 33,187 33,335 33,558 33,767 (1) See Note 1 for Basis of Presentation. |
Significant Accounting Polici49
Significant Accounting Policies - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||||
Dec. 31, 2015 | Jun. 30, 2017 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Significant Accounting Policies [Line Items] | |||||||
Reduction to revenue | $ 2,500,000 | $ 2,800,000 | |||||
Days for delinquent loans and finance receivables to be charged off | 60 days | ||||||
Goodwill impairment loss | $ 0 | ||||||
Goodwill | $ 267,008,000 | $ 267,015,000 | $ 267,010,000 | $ 267,008,000 | |||
Cost method investments | $ 6,700,000 | ||||||
Deferred income tax assets valuation allowance percentage | 50.00% | ||||||
Federal corporate income tax rate | 35.00% | 35.00% | 35.00% | ||||
Scenario, Forecast | |||||||
Significant Accounting Policies [Line Items] | |||||||
Federal corporate income tax rate | 21.00% | ||||||
Stock options | |||||||
Significant Accounting Policies [Line Items] | |||||||
Stock options not included in computation of diluted earnings per share | 1,563,975 | 1,622,331 | 1,700,296 | ||||
Restricted stock units | |||||||
Significant Accounting Policies [Line Items] | |||||||
Stock options not included in computation of diluted earnings per share | 182,008 | 464,500 | 368,111 | ||||
Maximum | |||||||
Significant Accounting Policies [Line Items] | |||||||
Cash and cash equivalent maturity period | 90 days | ||||||
Delinquent loans and finance receivables expiry period (in days) | 64 days | ||||||
Expected period of life of intangible assets | 20 years | ||||||
Maximum | Software Development Costs | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property and equipment, useful life | 5 years | ||||||
Minimum | |||||||
Significant Accounting Policies [Line Items] | |||||||
Delinquent loans and finance receivables expiry period (in days) | 1 day | ||||||
Expected period of life of intangible assets | 3 years | ||||||
Minimum | Software Development Costs | |||||||
Significant Accounting Policies [Line Items] | |||||||
Property and equipment, useful life | 1 year |
Significant Accounting Polici50
Significant Accounting Policies - Schedule of Property and Equipment Estimated Useful Lives (Detail) | 12 Months Ended | |
Dec. 31, 2017 | ||
Computer Hardware and Software | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | |
Computer Hardware and Software | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 5 years | |
Furniture, Fixtures and Equipment | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | |
Furniture, Fixtures and Equipment | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 7 years | |
Leasehold Improvements | Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | [1] |
Leasehold Improvements | Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 10 years | [1] |
[1] | Leasehold improvements are depreciated over the lesser of the estimated useful life, remaining lease term, or 10 years. |
Significant Accounting Polici51
Significant Accounting Policies - Schedule of Property and Equipment Estimated Useful Lives (Detail) (Parenthetical) - Leasehold Improvements | 12 Months Ended | |
Dec. 31, 2017 | [1] | |
Maximum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 10 years | |
Minimum | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, useful life | 3 years | |
[1] | Leasehold improvements are depreciated over the lesser of the estimated useful life, remaining lease term, or 10 years. |
Significant Accounting Polici52
Significant Accounting Policies - Reconciliation of Numerators and Denominators of Basic and Diluted Earnings per Share - (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||
Numerator: | |||||||||||||||||||
Net income | $ 6,883 | $ (3,368) | $ 11,873 | $ 13,852 | $ 8,714 | $ 7,837 | $ 8,188 | $ 9,863 | $ 29,240 | $ 34,602 | $ 43,992 | ||||||||
Weighted average common shares outstanding: | |||||||||||||||||||
Total weighted average basic shares | 33,523 | 33,192 | 33,006 | ||||||||||||||||
Shares applicable to stock-based compensation | 609 | 270 | 20 | ||||||||||||||||
Total weighted average diluted shares | 34,172 | [1] | 33,670 | [1] | 34,125 | [1] | 34,036 | [1] | 33,767 | [1] | 33,558 | [1] | 33,335 | [1] | 33,187 | [1] | 34,132 | 33,462 | 33,026 |
Earnings per share – basic | $ 0.87 | $ 1.04 | $ 1.33 | ||||||||||||||||
Earnings per share – diluted | $ 0.20 | $ (0.10) | $ 0.35 | $ 0.41 | $ 0.26 | $ 0.23 | $ 0.25 | $ 0.30 | $ 0.86 | $ 1.03 | $ 1.33 | ||||||||
[1] | See Note 1 for Basis of Presentation. |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) | Jun. 23, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||||
Date of acquisition | Jun. 23, 2015 | |||
Business acquisition, asset acquired | $ 26,400,000 | |||
Business acquisition, payment in cash | 17,700,000 | $ 17,735,000 | ||
Business Combination, promissory note | 3,000,000 | $ 3,000,000 | $ 3,000,000 | |
Estimated contingent consideration payable | 5,700,000 | 2,358,000 | $ 5,658,000 | |
Total consideration paid | 0 | |||
Change fair value measurement contingent consideration | 2,358,000 | 3,300,000 | ||
Business combination recorded an adjustment to write-off remaining liability | $ 2,700,000 | |||
General and administrative expenses | ||||
Business Acquisition [Line Items] | ||||
Change fair value measurement contingent consideration | $ 3,300,000 | |||
Maximum | ||||
Business Acquisition [Line Items] | ||||
Total consideration paid | $ 71,000,000 |
Loans and Finance Receivables54
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables - Schedule of Revenue Generated from Loans and Finance Receivables (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Accounts Notes And Loans Receivable [Line Items] | |||||||||||
Total loans and finance receivables revenue | $ 842,851 | $ 744,092 | $ 650,921 | ||||||||
Other | 890 | 1,477 | 1,679 | ||||||||
Total Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | 843,741 | 745,569 | 652,600 |
Short-term Loans | |||||||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||||||
Total loans and finance receivables revenue | 197,408 | 196,255 | 204,893 | ||||||||
Line of Credit Accounts | |||||||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||||||
Total loans and finance receivables revenue | 262,760 | 220,462 | 185,521 | ||||||||
Installment Loans and RPAs | |||||||||||
Accounts Notes And Loans Receivable [Line Items] | |||||||||||
Total loans and finance receivables revenue | $ 382,683 | $ 327,375 | $ 260,507 |
Loans and Finance Receivables55
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables - Components of Company-Owned Loans and Finance Receivables (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Accounts Notes And Loans Receivable [Line Items] | |||||
Current receivables | $ 744,256 | $ 579,730 | |||
Delinquent payment amounts | [1] | 11,331 | 6,670 | ||
Receivables on non-accrual status | 72,162 | 74,095 | |||
Total delinquent receivables | 83,493 | 80,765 | |||
Total loans and finance receivables, gross | 827,749 | 660,495 | |||
Less: Allowance for losses | (123,044) | (98,945) | $ (67,322) | $ (64,948) | |
Loans and finance receivables, net | 704,705 | 561,550 | |||
Short-term Loans | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Current receivables | 45,552 | 35,516 | |||
Receivables on non-accrual status | 28,120 | 27,489 | |||
Total delinquent receivables | 28,120 | 27,489 | |||
Total loans and finance receivables, gross | 73,672 | 63,005 | |||
Less: Allowance for losses | (19,917) | (17,770) | (14,652) | (14,324) | |
Loans and finance receivables, net | 53,755 | 45,235 | |||
Line of Credit Accounts | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Current receivables | 161,070 | 130,576 | |||
Delinquent payment amounts | [1] | 7,696 | 4,560 | ||
Receivables on non-accrual status | 1,302 | 9,047 | |||
Total delinquent receivables | 8,998 | 13,607 | |||
Total loans and finance receivables, gross | 170,068 | 144,183 | |||
Less: Allowance for losses | (31,148) | (26,594) | (15,727) | (19,749) | |
Loans and finance receivables, net | 138,920 | 117,589 | |||
Installment Loans and RPAs | |||||
Accounts Notes And Loans Receivable [Line Items] | |||||
Current receivables | 537,634 | 413,638 | |||
Delinquent payment amounts | [1] | 3,635 | 2,110 | ||
Receivables on non-accrual status | 42,740 | 37,559 | |||
Total delinquent receivables | 46,375 | 39,669 | |||
Total loans and finance receivables, gross | 584,009 | 453,307 | |||
Less: Allowance for losses | (71,979) | (54,581) | $ (36,943) | $ (30,875) | |
Loans and finance receivables, net | $ 512,030 | $ 398,726 | |||
[1] | Represents the delinquent portion of installment loans and line of credit account balances for customers that have only missed one payment. See Note 1 “Significant Accounting Policies-Current and Delinquent Loans and Finance Receivables” for additional information. |
Loans and Finance Receivables56
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables - Schedule of Changes in Allowance for Losses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Allowance for losses for Company-owned loans and finance receivables | |||
Balance at beginning of period | $ 98,945 | $ 67,322 | $ 64,948 |
Cost of revenue | 396,370 | 327,726 | 216,678 |
Charge-offs | (455,077) | (360,114) | (280,928) |
Recoveries | 81,725 | 64,588 | 67,653 |
Effect of foreign currency translation | 1,081 | (577) | (1,029) |
Balance at end of period | 123,044 | 98,945 | 67,322 |
Liability for third-party lender-owned loans | |||
Balance at beginning of period | 1,996 | 1,756 | 1,576 |
Increase (decrease) in liability | 262 | 240 | 180 |
Balance at end of period | 2,258 | 1,996 | 1,756 |
Short-term Loans | |||
Allowance for losses for Company-owned loans and finance receivables | |||
Balance at beginning of period | 17,770 | 14,652 | 14,324 |
Cost of revenue | 77,775 | 69,202 | 62,571 |
Charge-offs | (98,243) | (85,599) | (83,316) |
Recoveries | 22,089 | 20,362 | 21,374 |
Effect of foreign currency translation | 526 | (847) | (301) |
Balance at end of period | 19,917 | 17,770 | 14,652 |
Liability for third-party lender-owned loans | |||
Balance at beginning of period | 1,716 | 1,298 | 1,575 |
Increase (decrease) in liability | 389 | 418 | (277) |
Balance at end of period | 2,105 | 1,716 | 1,298 |
Line of Credit Accounts | |||
Allowance for losses for Company-owned loans and finance receivables | |||
Balance at beginning of period | 26,594 | 15,727 | 19,749 |
Cost of revenue | 93,416 | 88,489 | 43,547 |
Charge-offs | (102,725) | (92,044) | (68,075) |
Recoveries | 13,863 | 14,422 | 20,694 |
Effect of foreign currency translation | (188) | ||
Balance at end of period | 31,148 | 26,594 | 15,727 |
Installment Loans and RPAs | |||
Allowance for losses for Company-owned loans and finance receivables | |||
Balance at beginning of period | 54,581 | 36,943 | 30,875 |
Cost of revenue | 225,179 | 170,035 | 110,560 |
Charge-offs | (254,109) | (182,471) | (129,537) |
Recoveries | 45,773 | 29,804 | 25,585 |
Effect of foreign currency translation | 555 | 270 | (540) |
Balance at end of period | 71,979 | 54,581 | 36,943 |
Liability for third-party lender-owned loans | |||
Balance at beginning of period | 280 | 458 | 1 |
Increase (decrease) in liability | (127) | (178) | 457 |
Balance at end of period | $ 153 | $ 280 | $ 458 |
Loans and Finance Receivables57
Loans and Finance Receivables, Credit Quality Information and Allowances and Liabilities for Estimated Losses on Loans and Finance Receivables - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2017 | Dec. 31, 2016 |
Receivables [Abstract] | ||
Active consumer loans owned by third-party lenders | $ 34.1 | $ 32.2 |
Accrual for losses on consumer loan guaranty obligations | $ 2.3 | $ 2 |
Property and Equipment - Classi
Property and Equipment - Classifications of Property and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Property Plant And Equipment [Line Items] | ||
Property and equipment, Cost | $ 141,787 | $ 127,518 |
Property and equipment, Accumulated Depreciation | (93,262) | (80,418) |
Property and equipment, Net | 48,525 | 47,100 |
Computer Software | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Cost | 82,757 | 72,277 |
Property and equipment, Accumulated Depreciation | (56,282) | (48,680) |
Property and equipment, Net | 26,475 | 23,597 |
Furniture, Fixtures and Equipment | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Cost | 33,834 | 30,974 |
Property and equipment, Accumulated Depreciation | (25,912) | (22,159) |
Property and equipment, Net | 7,922 | 8,815 |
Leasehold Improvements | ||
Property Plant And Equipment [Line Items] | ||
Property and equipment, Cost | 25,196 | 24,267 |
Property and equipment, Accumulated Depreciation | (11,068) | (9,579) |
Property and equipment, Net | $ 14,128 | $ 14,688 |
Property and Equipment - Additi
Property and Equipment - Additional information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Property Plant And Equipment [Abstract] | |||
Capitalized internal software development costs | $ 12 | $ 8.1 | $ 9.8 |
Depreciation expense | $ 13.3 | $ 14.4 | $ 17.9 |
Goodwill and Other Intangible60
Goodwill and Other Intangible Assets - Summary of Changes in Carrying Value of Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Goodwill, Beginning Balance | $ 267,010 | $ 267,008 |
Effect of foreign currency translation | 5 | 2 |
Goodwill, Ending Balance | $ 267,015 | $ 267,010 |
Goodwill and Other Intangible61
Goodwill and Other Intangible Assets - Summary of Acquired Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Acquired Finite Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, Cost | $ 12,620 | $ 12,612 |
Acquired intangible assets, Accumulated Amortization | (8,295) | (7,208) |
Acquired intangible assets, Net | 4,325 | 5,404 |
Customer Relationships | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, Cost | 3,536 | 3,533 |
Acquired intangible assets, Accumulated Amortization | (3,136) | (2,973) |
Acquired intangible assets, Net | 400 | 560 |
Lead Provider and Broker Relationships | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, Cost | 5,689 | 5,689 |
Acquired intangible assets, Accumulated Amortization | (4,089) | (3,449) |
Acquired intangible assets, Net | 1,600 | 2,240 |
Trademarks | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, Cost | 2,595 | 2,590 |
Acquired intangible assets, Accumulated Amortization | (670) | (546) |
Acquired intangible assets, Net | 1,925 | 2,044 |
Non-Competition Agreements | ||
Acquired Finite Lived Intangible Assets [Line Items] | ||
Acquired intangible assets, Cost | 800 | 800 |
Acquired intangible assets, Accumulated Amortization | (400) | (240) |
Acquired intangible assets, Net | $ 400 | $ 560 |
Goodwill and Other Intangible62
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Finite Lived Intangible Assets [Line Items] | |||
Amortization of Intangible Assets | $ 1.1 | $ 1.1 | $ 0.5 |
Minimum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 3 years | ||
Maximum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 20 years | ||
Customer Relationships | Minimum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 3 years | ||
Customer Relationships | Maximum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 5 years | ||
Trademarks | Minimum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 3 years | ||
Trademarks | Maximum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 20 years | ||
Lead Provider and Broker Relationships | Minimum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 3 years | ||
Lead Provider and Broker Relationships | Maximum | |||
Finite Lived Intangible Assets [Line Items] | |||
Expected period of life of intangible assets | 5 years |
Goodwill and Other Intangible63
Goodwill and Other Intangible Assets - Summary of Estimated Future Amortization Expense (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2,018 | $ 1,070 |
2,019 | 1,070 |
2,020 | 590 |
2,021 | 110 |
2,022 | $ 110 |
Accounts Payable and Accrued 64
Accounts Payable and Accrued Expenses - Schedule of Accounts Payable and Accrued Expenses (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 23, 2015 |
Payables And Accruals [Abstract] | ||||
Trade accounts payable | $ 25,579 | $ 25,420 | ||
Accrued payroll and fringe benefits | 14,877 | 14,165 | ||
Accrued interest payable | 11,064 | 5,043 | ||
Deferred finish out allowance | 7,979 | 8,939 | ||
Deferred fees on third-party consumer loans | 7,074 | 6,869 | ||
Accrual for consumer loan payments rejected for non-sufficient funds | 5,096 | 3,680 | ||
Promissory note | 3,000 | 3,000 | $ 3,000 | |
Liability for losses on third-party lender owned consumer loans | 2,258 | 1,996 | ||
Contingent consideration | 2,358 | $ 5,658 | $ 5,700 | |
Other accrued liabilities | 196 | 201 | ||
Total | $ 77,123 | $ 71,671 |
Marketing Expenses - Schedule o
Marketing Expenses - Schedule of Marketing Expenses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Marketing Expenses [Abstract] | |||
Advertising | $ 64,186 | $ 66,184 | $ 80,526 |
Customer procurement expense including lead purchase costs | 37,224 | 30,551 | 29,327 |
Customer referral and revenue sharing expense | 19 | 669 | 7,029 |
Total | $ 101,429 | $ 97,404 | $ 116,882 |
Long-Term Debt - Summary of Lon
Long-Term Debt - Summary of Long-Term Debt Instruments and Balances Outstanding (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | |
Debt Instrument [Line Items] | |||
Securitization notes | $ 211,406 | [1] | $ 165,419 |
Subtotal | 803,964 | 661,041 | |
Less: Long-term debt issuance costs | (15,422) | (11,130) | |
Total long-term debt | 788,542 | 649,911 | |
9.75% Senior Notes Due 2021 | |||
Debt Instrument [Line Items] | |||
Senior notes | 342,558 | $ 495,622 | |
8.50% Senior Notes Due 2024 | |||
Debt Instrument [Line Items] | |||
Senior notes | $ 250,000 | ||
[1] | The 2016-1 Securitization Facility matures at various dates, the latest of which will be April 15, 2021, and the 2016-2 Facility matures on December 1, 2019. |
Long-Term Debt - Summary of L67
Long-Term Debt - Summary of Long-Term Debt Instruments and Balances Outstanding (Parenthetical) (Detail) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 01, 2017 | May 30, 2014 | |
9.75% Senior Notes Due 2021 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 9.75% | 9.75% | 9.75% | |
Debt instrument, maturity date | Jun. 1, 2021 | Jun. 1, 2021 | ||
8.50% Senior Notes Due 2024 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, interest rate | 8.50% | 8.50% | ||
Debt instrument, maturity date | Sep. 1, 2024 |
Long-term Debt - Additional Inf
Long-term Debt - Additional Information (Detail) - USD ($) | Oct. 20, 2017 | Jun. 30, 2017 | Dec. 01, 2016 | Oct. 20, 2016 | Jan. 15, 2016 | Nov. 05, 2015 | May 30, 2014 | May 14, 2014 | Sep. 30, 2016 | Jun. 30, 2016 | Sep. 30, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 01, 2017 | Jan. 04, 2016 | Dec. 29, 2015 | Nov. 30, 2015 | Mar. 25, 2015 | |
Debt Instrument [Line Items] | |||||||||||||||||||
Aggregate availability of variable funding notes | $ 20,000,000 | ||||||||||||||||||
Maximum principal amount of securitization notes outstanding | $ 175,000,000 | ||||||||||||||||||
Carrying amount of securitization notes | $ 211,406,000 | [1] | $ 165,419,000 | ||||||||||||||||
Net proceeds of senior notes | 250,000,000 | ||||||||||||||||||
Loss on early extinguishment of debt | $ 22,895,000 | ||||||||||||||||||
Revolving Line of Credit | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Required Leverage Ratio, current | 3.00% | 4.25% | 4.00% | ||||||||||||||||
Required Leverage Ratio, quarter ended September 30, 2016 | 3.50% | ||||||||||||||||||
Required Leverage Ratio, quarter ended December 31, 2016 | 3.50% | ||||||||||||||||||
8.50% Senior Unsecured Notes Due 2024 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, face amount | $ 250,000,000 | ||||||||||||||||||
Debt instrument, maturity date | Sep. 1, 2024 | ||||||||||||||||||
Debt instrument, interest rate | 8.50% | 8.50% | |||||||||||||||||
Debt instrument, payment terms | The 2024 Senior Notes bear interest at a rate of 8.50% annually on the principal amount payable semi-annually in arrears on March 1 and September 1 of each year, beginning on March 1, 2018. | ||||||||||||||||||
Debt instrument, percentage of sale price | 100.00% | ||||||||||||||||||
Notes redemption, description | The 2024 Senior Notes are redeemable at the Company’s option, in whole or in part, (i) at any time prior to September 1, 2020 at 100% of the aggregate principal amount of 2024 Senior Notes redeemed plus the applicable “make whole” premium specified in the 2024 Senior Notes Indenture, plus accrued and unpaid interest, if any, to the redemption date and (ii) at any time on or after September 1, 2020 at the premium, if any, specified in the 2024 Senior Notes Indenture that will decrease over time, plus accrued and unpaid interest, if any, to the redemption date. | ||||||||||||||||||
Note redeem rate | 100.00% | ||||||||||||||||||
Carrying amount of senior notes | $ 242,800,000 | ||||||||||||||||||
Unamortized debt issuance cost | $ 7,200,000 | ||||||||||||||||||
Debt issuance cost, amortization period | 7 years | ||||||||||||||||||
Interest expense recognized | $ 7,400,000 | ||||||||||||||||||
Non-cash amortization of debt issuance costs | $ 400,000 | ||||||||||||||||||
8.50% Senior Unsecured Notes Due 2024 | $250.0 million 8.50% Senior Unsecured Notes Redemption, Under Additional Option Available | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Note redeem rate | 108.50% | ||||||||||||||||||
Percentage of notes principal redeemable | 40.00% | ||||||||||||||||||
2016-1 Securitization Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, revolving period | 9 months | ||||||||||||||||||
Debt instrument, maturity date | Oct. 15, 2020 | Apr. 15, 2021 | |||||||||||||||||
Unamortized debt issuance cost | $ 3,300,000 | ||||||||||||||||||
Debt issuance cost, amortization period | 3 years | ||||||||||||||||||
Interest expense recognized | $ 16,600,000 | 13,500,000 | |||||||||||||||||
Non-cash amortization of debt issuance costs | 2,100,000 | 3,200,000 | |||||||||||||||||
Securitization Notes issued pursuant to an indenture, date | Jan. 15, 2016 | ||||||||||||||||||
Maximum principal amount of securitization facility | $ 275,000,000 | ||||||||||||||||||
Variable funding note maximum principal amount | 40,000,000 | ||||||||||||||||||
Variable funding note maximum principal amount thereafter | $ 30,000,000 | ||||||||||||||||||
Extended Maturity period of revolving facility | 2017-10 | ||||||||||||||||||
Weighted average interest rate | 9.50% | ||||||||||||||||||
Carrying amount of securitization notes | $ 193,000,000 | ||||||||||||||||||
2016-1 Securitization Facility | Agent's Base Rate | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, interest rate | 1.00% | ||||||||||||||||||
2016-1 Securitization Facility | Prime Rate | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 7.75% | ||||||||||||||||||
2016-1 Securitization Facility | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, effective percentage | 8.75% | ||||||||||||||||||
2017 Securitization Notes | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum principal amount of securitization notes outstanding | $ 275,000,000 | ||||||||||||||||||
Debt instrument, basis spread on variable rate | 7.50% | ||||||||||||||||||
Outstanding principal amount | $ 226,400,000 | ||||||||||||||||||
Maximum one-time prepayment amount | 100,000,000 | ||||||||||||||||||
2017 Securitization Notes | Minimum | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Aggregate availability of variable funding notes | 75,000,000 | ||||||||||||||||||
2017 Securitization Notes | Maximum | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Aggregate availability of variable funding notes | 90,000,000 | ||||||||||||||||||
2016-2 Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, maturity date | Dec. 1, 2019 | ||||||||||||||||||
Debt issuance cost, amortization period | 36 months | ||||||||||||||||||
Interest expense recognized | $ 1,900,000 | 100,000 | |||||||||||||||||
Carrying amount of securitization notes | 15,100,000 | 12,100,000 | |||||||||||||||||
Date at Issuer not permitted to prepay or redeem any outstanding securitization notes prior | Oct. 1, 2018 | ||||||||||||||||||
Debt issuance cost | $ 200,000 | 200,000 | |||||||||||||||||
2016-2 Facility | Redpoint Capital Asset Funding, LLC | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Annual percentage rate for securitized consumer loan | 90.00% | ||||||||||||||||||
Average annual percentage rate for securitized consumer loan | 135.00% | ||||||||||||||||||
2016-2 Facility | LIBOR | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, effective percentage | 12.50% | ||||||||||||||||||
2017 Revolving Credit Facility Due 2020 | Green Bank, N.A. | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt issuance cost, amortization period | 34 months | ||||||||||||||||||
Debt issuance cost | $ 2,200,000 | ||||||||||||||||||
Maximum borrowing capacity | $ 40,000,000 | ||||||||||||||||||
Credit agreement, maturity date | May 1, 2020 | ||||||||||||||||||
Revolving line of credit | $ 0 | ||||||||||||||||||
2017 Revolving Credit Facility Due 2020 | Green Bank, N.A. | Letters of Credit | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum borrowing capacity | 20,000,000 | ||||||||||||||||||
Borrowings outstanding under credit agreement | $ 8,000,000 | ||||||||||||||||||
2017 Revolving Credit Facility Due 2020 | Minimum | Green Bank, N.A. | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Commitment fee percentage | 0.30% | ||||||||||||||||||
2017 Revolving Credit Facility Due 2020 | Maximum | Green Bank, N.A. | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Commitment fee percentage | 0.50% | ||||||||||||||||||
2017 Revolving Credit Facility Due 2020 | Prime Rate | Green Bank, N.A. | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 1.00% | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Jefferies Group, LLC | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum borrowing capacity | $ 35,000,000 | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt issuance cost, amortization period | 37 months | ||||||||||||||||||
Debt issuance cost | 1,600,000 | ||||||||||||||||||
Credit agreement, maturity date | Jun. 30, 2017 | ||||||||||||||||||
Revolving line of credit | $ 0 | ||||||||||||||||||
Commitment fee, percentage | 0.50% | ||||||||||||||||||
Weighted average interest rates | 4.18% | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Minimum | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 2.50% | ||||||||||||||||||
Commitment fee, percentage | 0.25% | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Maximum | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 3.75% | ||||||||||||||||||
Commitment fee, percentage | 0.50% | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Agent's Base Rate | Minimum | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 1.50% | ||||||||||||||||||
2014 Revolving Credit Facility Due 2017 | Agent's Base Rate | Maximum | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 2.75% | ||||||||||||||||||
Revolving Credit Facility Due 2017 | Jefferies Group, LLC | Foreign Currency | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum borrowing capacity | $ 25,000,000 | ||||||||||||||||||
Revolving Credit Facility Due 2017 | Jefferies Group, LLC | Unsecured Revolving Credit Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum borrowing capacity | $ 40,000,000 | $ 75,000,000 | $ 35,000,000 | $ 35,000,000 | $ 75,000,000 | $ 60,000,000 | $ 65,000,000 | ||||||||||||
Required Leverage Ratio, current | 3.75% | 3.00% | |||||||||||||||||
Voluntary commitment reductions to revolving facility | 40,000,000 | ||||||||||||||||||
Line of Credit Facility Increase | 15,000,000 | ||||||||||||||||||
Line of credit facility decrease | $ 5,000,000 | ||||||||||||||||||
Revolving Credit Facility Due 2017 | Jefferies Group, LLC | Unsecured Revolving Credit Facility | Scenario One | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Maximum senior secured indebtedness basket | $ 15,000,000 | $ 20,000,000 | |||||||||||||||||
Line of Credit Facility Increase | $ 5,000,000 | ||||||||||||||||||
Revolving Credit Facility Due 2017 | Jefferies Group, LLC | Unsecured Revolving Credit Facility | Scenario Two | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Percentage of consolidated assets | 2.00% | 2.75% | |||||||||||||||||
Line of Credit Facility Increase | $ 10,000,000 | ||||||||||||||||||
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, face amount | $ 500,000,000 | $ 345,000,000 | |||||||||||||||||
Debt instrument, maturity date | Jun. 1, 2021 | Jun. 1, 2021 | |||||||||||||||||
Debt instrument, interest rate | 9.75% | 9.75% | 9.75% | ||||||||||||||||
Debt instrument, effective percentage | 10.00% | ||||||||||||||||||
Percentage of notes principal redeemable | 35.00% | ||||||||||||||||||
Carrying amount of senior notes | $ 337,600,000 | $ 486,400,000 | |||||||||||||||||
Unamortized debt issuance cost | $ 4,900,000 | 9,300,000 | |||||||||||||||||
Debt issuance cost, amortization period | 7 years | ||||||||||||||||||
Interest expense recognized | $ 46,900,000 | 51,600,000 | |||||||||||||||||
Non-cash amortization of debt issuance costs | $ 1,900,000 | $ 2,100,000 | |||||||||||||||||
Weighted average interest rates | 10.63% | 10.71% | |||||||||||||||||
Note repurchase rate | 101.00% | ||||||||||||||||||
Net proceeds of senior notes | $ 479,000,000 | ||||||||||||||||||
Debt instrument, repurchase of principal amount | $ 155,000,000 | ||||||||||||||||||
Aggregate cash consideration paid for repurchase of principal amount with accrued interest | 166,300,000 | ||||||||||||||||||
Loss on early extinguishment of debt | 14,900,000 | ||||||||||||||||||
Loss on early extinguishment of debt, net of tax | 9,200,000 | ||||||||||||||||||
Debt instrument unamortized discount | 2,400,000 | $ 4,400,000 | |||||||||||||||||
Non-cash amortization discount | $ 800,000 | 700,000 | |||||||||||||||||
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | Cash America | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Repayments of Intercompany indebtedness | 361,400,000 | ||||||||||||||||||
Cash dividends payable | $ 122,400,000 | ||||||||||||||||||
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | Scenario One | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Note redeem rate | 100.00% | ||||||||||||||||||
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | Scenario Two | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Note redeem rate | 109.75% | ||||||||||||||||||
Initial Term Note | 2016-1 Securitization Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, face amount | 107,400,000 | ||||||||||||||||||
Unsecured consumer loans | $ 134,000,000 | ||||||||||||||||||
Initial Term Note | 2017 Securitization Notes | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, face amount | $ 181,100,000 | ||||||||||||||||||
Revolving Note | 2016-2 Facility | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, face amount | $ 20,000,000 | ||||||||||||||||||
Unsecured consumer loans | $ 25,000,000 | ||||||||||||||||||
Debt instrument, maturity date | Dec. 1, 2019 | ||||||||||||||||||
Expected increase in maximum principal balance | $ 40,000,000 | ||||||||||||||||||
Enova Standby And Letter Of Credit | Revolving Line of Credit | |||||||||||||||||||
Debt Instrument [Line Items] | |||||||||||||||||||
Debt instrument, basis spread on variable rate | 0.25% | ||||||||||||||||||
Maximum borrowing capacity | $ 20,000,000 | ||||||||||||||||||
Borrowings outstanding under credit agreement | $ 6,600,000 | ||||||||||||||||||
Percentage of debt face amount for fee calculation | 0.20% | ||||||||||||||||||
[1] | The 2016-1 Securitization Facility matures at various dates, the latest of which will be April 15, 2021, and the 2016-2 Facility matures on December 1, 2019. |
Long Term Debt - Schedule of Ma
Long Term Debt - Schedule of Maturities of Long-term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | ||
Debt Disclosure [Abstract] | ||||
2,021 | [1] | $ 345,000 | ||
Thereafter | [2] | 250,000 | ||
Securitization notes | 211,406 | [3] | $ 165,419 | |
Total | $ 806,406 | |||
[1] | The $345.0 million 9.75% Senior Unsecured Notes mature June 1, 2021. | |||
[2] | The $250.0 million 8.50% Senior Unsecured Notes mature September 1, 2024 | |||
[3] | The 2016-1 Securitization Facility matures at various dates, the latest of which will be April 15, 2021, and the 2016-2 Facility matures on December 1, 2019. |
Long Term Debt - Schedule of 70
Long Term Debt - Schedule of Maturities of Long-term Debt (Parenthetical) (Detail) - USD ($) $ in Millions | Jan. 15, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Sep. 01, 2017 | May 30, 2014 |
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 345 | $ 500 | |||
Debt instrument, interest rate | 9.75% | 9.75% | 9.75% | ||
Debt instrument, maturity date | Jun. 1, 2021 | Jun. 1, 2021 | |||
8.50% Senior Unsecured Notes Due 2024 | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, face amount | $ 250 | ||||
Debt instrument, interest rate | 8.50% | 8.50% | |||
Debt instrument, maturity date | Sep. 1, 2024 | ||||
2016-1 Securitization Facility | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, maturity date | Oct. 15, 2020 | Apr. 15, 2021 | |||
2016-2 Facility | |||||
Debt Instrument [Line Items] | |||||
Debt instrument, maturity date | Dec. 1, 2019 |
Income Taxes - Components of De
Income Taxes - Components of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Deferred tax assets: | ||
Loans and finance receivables, net | $ 27,444 | $ 38,275 |
Compensation and benefits | 4,423 | 7,397 |
Translation adjustments | 2,531 | 6,726 |
Accrued rent and deferred finish out allowance | 2,786 | 4,372 |
Foreign net operating loss carryforward | 2,164 | 1,449 |
Other | 1,441 | 1,960 |
Total deferred tax assets | 40,789 | 60,179 |
Deferred tax liabilities: | ||
Amortizable intangible assets | 42,334 | 60,762 |
Property and equipment | 7,760 | 11,443 |
Other | 153 | 483 |
Total deferred tax liabilities | 50,247 | 72,688 |
Net deferred tax liabilities before valuation allowance | (9,458) | (12,509) |
Valuation allowance | (2,650) | (1,807) |
Net deferred tax liabilities | $ (12,108) | $ (14,316) |
Income Taxes - Components of Pr
Income Taxes - Components of Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income before income taxes: | |||
Domestic | $ 37,900 | $ 57,422 | $ 70,519 |
International | 14 | ||
Income before Income Taxes | 37,900 | 57,436 | 70,519 |
Current provision (benefit): | |||
Federal | 11,366 | 22,656 | 25,601 |
International | (3) | 94 | 114 |
State and local | 2,045 | 2,347 | 2,211 |
Total current provision for income taxes | 13,408 | 25,097 | 27,926 |
Deferred benefit: | |||
Federal | (4,461) | (2,152) | (1,360) |
State and local | (287) | (111) | (39) |
Total deferred benefit for income taxes | (4,748) | (2,263) | (1,399) |
Total provision for income taxes | $ 8,660 | $ 22,834 | $ 26,527 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Contingency [Line Items] | ||||
Federal statutory rate | 35.00% | 35.00% | 35.00% | |
Estimated net tax benefit from remeasurement of deferred tax assets and liabilities | $ 7,491,000 | |||
Expenses for interest and penalties related to tax matters | 0 | |||
IRS | Tax Years 2011 Through 2014 | ||||
Income Tax Contingency [Line Items] | ||||
Tax adjustments | $ 0 | |||
IRS | Tax Year 2015 | ||||
Income Tax Contingency [Line Items] | ||||
Open Tax Year | 2,015 | |||
IRS | Tax Year 2016 | ||||
Income Tax Contingency [Line Items] | ||||
Open Tax Year | 2,016 | |||
State Local And Foreign Jurisdiction Tax Authority | ||||
Income Tax Contingency [Line Items] | ||||
Statute of limitation period | 3 years | |||
Brazilian Operations | ||||
Income Tax Contingency [Line Items] | ||||
Foreign net operating loss carryforwards | $ 10,700,000 | $ 4,300,000 | $ 2,800,000 | |
Scenario, Forecast | ||||
Income Tax Contingency [Line Items] | ||||
Federal statutory rate | 21.00% |
Income Taxes - Components of Ef
Income Taxes - Components of Effective Tax Rate on Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Tax provision computed at the federal statutory income tax rate | $ 13,265 | $ 20,103 | $ 24,682 |
Deferred tax impact of tax reform | (7,491) | ||
State and local income taxes, net of federal tax benefits | 1,440 | 1,401 | 1,408 |
Share based compensation | (1,005) | 1,656 | |
Foreign exchange gain | 724 | ||
Other | 1,727 | (326) | 437 |
Total provision for income taxes | $ 8,660 | $ 22,834 | $ 26,527 |
Effective tax rate | 22.90% | 39.80% | 37.60% |
Income Taxes - Summary of Valua
Income Taxes - Summary of Valuation Account Activity (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |||
Balance at beginning of period | $ 1,807 | $ 1,220 | $ 670 |
Additions | 843 | 587 | 550 |
Balance at end of period | $ 2,650 | $ 1,807 | $ 1,220 |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Activity Related to Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | ||
Balance at beginning of period | $ 351 | |
Additions based on tax positions related to the current year | 229 | $ 118 |
Additions for tax positions of prior years | 147 | 233 |
Balance at end of period | $ 727 | $ 351 |
Commitments and Contingencies -
Commitments and Contingencies - Additional information (Detail) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2015USD ($) | Jun. 30, 2015ft² | |
Commitments And Contingencies [Line Items] | ||||
Expense related to lease termination penalty | $ 5.2 | $ 5.8 | $ 6.8 | |
Leased area | ft² | 86,000 | |||
Estimated sublease income | 1.7 | |||
Active consumer loans owned by third-party lenders | 34.1 | 32.2 | ||
Accrual for losses on consumer loan guaranty obligations | $ 2.3 | $ 2 | ||
Lease Termination Costs and Other Exit Costs | ||||
Commitments And Contingencies [Line Items] | ||||
Expense related to lease termination penalty | 3.7 | |||
Lease Termination Costs | ||||
Commitments And Contingencies [Line Items] | ||||
Expense related to lease termination penalty | 2.9 | |||
Other Exit Costs | ||||
Commitments And Contingencies [Line Items] | ||||
Expense related to lease termination penalty | $ 0.8 | |||
Minimum | ||||
Commitments And Contingencies [Line Items] | ||||
Remaining term on operating leases | 2 years | |||
Maximum | ||||
Commitments And Contingencies [Line Items] | ||||
Remaining term on operating leases | 10 years |
Commitments and Contingencies78
Commitments and Contingencies - Future Minimum Rentals Due Under Non-Cancelable Leases (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Commitments And Contingencies Disclosure [Abstract] | |
2,018 | $ 6,020 |
2,019 | 6,875 |
2,020 | 6,719 |
2,021 | 6,922 |
2,022 | 6,970 |
Thereafter | 30,378 |
Total | $ 63,884 |
Commitments and Contingencies79
Commitments and Contingencies - Exit and Disposal Activity and Liability Balances (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Lease Termination Costs | ||
Commitments And Contingencies [Line Items] | ||
Beginning Balance | $ 637 | $ 1,425 |
Payments | (554) | (1,132) |
Adjustments | (83) | 344 |
Ending Balance | 637 | |
Other Exit Costs | ||
Commitments And Contingencies [Line Items] | ||
Beginning Balance | 135 | 204 |
Payments | (9) | |
Adjustments | (126) | (69) |
Ending Balance | 135 | |
Lease Termination Costs and Other Exit Costs | ||
Commitments And Contingencies [Line Items] | ||
Beginning Balance | 772 | 1,629 |
Payments | (563) | (1,132) |
Adjustments | $ (209) | 275 |
Ending Balance | $ 772 |
Employee Benefit Plans - Additi
Employee Benefit Plans - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
SERP | ||||
Deferred Compensation Arrangement With Individual Excluding Share Based Payments And Postretirement Benefits [Line Items] | ||||
Compensation expense | $ 0.5 | $ 0.2 | $ 0.4 | |
401(k) Savings Plan | Nonqualified Savings Plan | ||||
Deferred Compensation Arrangement With Individual Excluding Share Based Payments And Postretirement Benefits [Line Items] | ||||
Percentage of matching contribution by employer | 100.00% | 50.00% | ||
Percentage of matching contribution by employee | 1.00% | 5.00% | ||
Percentage of matching contribution by employer on the next part of pay | 50.00% | |||
Percentage of the next part of employee pay for matching contribution | 5.00% | |||
Rate at which company contributions vest | 20.00% | |||
Company's vested contribution | 100.00% | |||
Company's consolidated contributions | $ 1.9 | $ 2.2 | $ 1.4 |
Employee Benefit Plans - Schedu
Employee Benefit Plans - Schedule of Amounts Included in Consolidated Balance Sheets Relating to NQSP and SERP (Detail) - SERP - Nonqualified Savings Plan - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Defined Benefit Plan Disclosure [Line Items] | ||
Prepaid expenses and other assets | $ 1,460 | $ 1,590 |
Accounts payable and accrued expenses | $ 1,993 | $ 1,860 |
Stock-Based Compensation - Addi
Stock-Based Compensation - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock share received value | $ 5,079 | $ 437 | $ 187 |
Restricted Stock Units | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Common stock shares received | 102,253 | ||
Common stock share received value | $ 1,500 | ||
Restricted Stock Units | Officers and Certain Employees | Minimum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share based compensation units vesting period | 3 years | ||
Restricted Stock Units | Officers and Certain Employees | Maximum | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Share based compensation units vesting period | 4 years | ||
Enova LTIP | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Number of shares authorized | 8,000,000 | ||
Shares available for future grants | 2,924,099 | ||
Enova LTIP | Restricted Stock Units | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Compensation expense | $ 7,300 | 5,200 | 4,900 |
Compensation expenses net of tax | 5,600 | 3,100 | 3,100 |
Unrecognized compensation cost | $ 12,700 | ||
Unrecognized compensation expense recognition period | 2 years 4 months 24 days | ||
Outstanding RSUs aggregate intrinsic value | $ 21,700 | ||
Vesting percentage | 50.00% | ||
Additional compensation expense | 300 | ||
Enova LTIP | Restricted Stock Units | Previously agreed | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting percentage | 25.00% | ||
Enova LTIP | Stock options | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Compensation expense | $ 4,000 | 3,300 | 4,700 |
Compensation expenses net of tax | 3,100 | $ 2,000 | 2,900 |
Unrecognized compensation cost | $ 3,200 | ||
Unrecognized compensation expense recognition period | 1 year 10 months 24 days | ||
Vesting percentage | 66.60% | ||
Additional compensation expense | $ 300 | ||
Risk-free interest rate | 1.90% | ||
Expected life (years) | 4 years 6 months | ||
Expected volatility | 52.30% | ||
Expected dividend yield | 0.00% | ||
Weighted average fair value of options granted | $ 6.60 | ||
Outstanding stock options aggregate intrinsic value | $ 4,200 | ||
Exercisable stock options intrinsic value | $ 1,800 | ||
Enova LTIP | Stock options | Previously agreed | |||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Vesting percentage | 33.30% |
Stock-Based Compensation - Summ
Stock-Based Compensation - Summary of Restricted Stock Unit Activity (Detail) - Enova LTIP - Restricted Stock Units - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Outstanding at beginning of year, Units | 1,359,057 | 641,878 | 549,707 |
Units granted, Units | 763,727 | 1,189,136 | 356,064 |
Shares issued, Units | (563,689) | (213,437) | (151,088) |
Units forfeited, Units | (133,212) | (258,520) | (112,805) |
Outstanding at end of year, Units | 1,425,883 | 1,359,057 | 641,878 |
Outstanding at beginning of year, Weighted Average Fair Value at Date of Grant | $ 9.49 | $ 20.55 | $ 23.04 |
Units granted, Weighted Average Fair Value at Date of Grant | 14.70 | 6.67 | 18.39 |
Shares issued, Weighted Average Fair Value at Date of Grant | 9.68 | 19.65 | 22.62 |
Units forfeited, Weighted Average Fair Value at Date of Grant | 11.62 | 15.65 | 23.04 |
Outstanding at end of year, Weighted Average Fair Value at Date of Grant | $ 12 | $ 9.49 | $ 20.55 |
Stock-Based Compensation - Su84
Stock-Based Compensation - Summary of Stock Option Activity (Detail) - Enova LTIP - Stock options - $ / shares | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||
Outstanding at beginning of year, Units | 1,587,056 | 1,891,153 | 1,425,196 |
Options granted, Units | 590,988 | 337,081 | 785,294 |
Options exercised, Units | (4,459) | ||
Options forfeited, Units | (119,493) | (641,178) | (319,337) |
Outstanding at end of year, Units | 2,054,092 | 1,587,056 | 1,891,153 |
Options vested at end of year, Units | 1,165,837 | 734,896 | 475,127 |
Outstanding at beginning of year, Weighted Average Exercise Price | $ 17.98 | $ 21.44 | $ 23.04 |
Options granted, Weighted Average Exercise Price | 14.80 | 6.29 | 19.19 |
Options exercised, Weighted Average Exercise Price | 6.29 | ||
Options forfeited, Weighted Average Exercise Price | 21.02 | 22.01 | 23.04 |
Outstanding at end of year, Weighted Average Exercise Price | 16.92 | 17.98 | 21.44 |
Options vested at end of year, Weighted Average Exercise Price | $ 19.94 | $ 21.67 | $ 23.05 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Details) | Dec. 31, 2016USD ($) |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Outstanding derivative instruments | $ 0 |
Derivative Instruments - Fair V
Derivative Instruments - Fair Values of Derivative Instruments (Detail) - Non-Designated Derivatives - Forward Currency Exchange Contracts $ in Thousands | Dec. 31, 2017USD ($) | |
Derivatives Fair Value [Line Items] | ||
Derivative Liabilities, Notional Amount | $ 12,039 | |
Gross Amounts of Recognized Financial Instruments, Liabilities | 55 | |
Net Amounts of Assets Presented in the Consolidated Balance, Liabilities | $ 55 | [1] |
[1] | Represents the fair value of forward currency contracts, which is recorded in “Accounts payable and accrued expenses” in the consolidated balance sheets. |
Derivative Instruments - Fair87
Derivative Instruments - Fair Values of Derivative Instruments (Parenthetical) (Detail) - Non-Designated Derivatives - Forward Currency Exchange Contracts | Dec. 31, 2017USD ($) |
Derivatives Fair Value [Line Items] | |
Gross amounts of recognized derivative instruments | $ 0 |
Derivative asset, fair value of collateral | 0 |
Amount of derivative assets | 0 |
Amount of derivative liabilities | $ 0 |
Derivative Instruments - Effect
Derivative Instruments - Effect of Derivative Instruments on the Consolidated Results of Operations and Accumulated other Comprehensive Income (Detail) - Non-Designated Derivatives - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Derivative Instruments Gain Loss [Line Items] | ||||
Gains (Losses) Recognized in Income | $ (55) | $ 3,020 | $ 4,525 | |
Forward Currency Exchange Contracts | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Gains (Losses) Recognized in Income | [1] | $ (55) | $ 3,020 | $ 4,525 |
[1] | The gains (losses) on these derivatives substantially offset the (losses) gains on the hedged portion of the foreign intercompany balances. |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 23, 2015 | |
Related Party Transaction [Line Items] | ||||
Business Combination, promissory note | $ 3,000,000 | $ 3,000,000 | $ 3,000,000 | |
Small Business | ||||
Related Party Transaction [Line Items] | ||||
Business Combination, promissory note | $ 3,000,000 | |||
Promissory note maturity date | Jun. 23, 2018 | |||
Interest expense related to promissory note | $ 100,000 | 100,000 | $ 100,000 | |
Transition services agreement fee income | $ 33,000 | 34,000 | 100,000 | |
Debt instrument, interest rate | 4.00% | |||
Transition services agreement period | 3 years | |||
Cash America | ||||
Related Party Transaction [Line Items] | ||||
Professional fee | 400,000 | |||
Consumer loans reimbursement amount | $ 800,000 | 1,000,000 | 1,200,000 | |
First Cash | ||||
Related Party Transaction [Line Items] | ||||
Related party payable, net | 100,000 | 100,000 | ||
Marketing Agency | ||||
Related Party Transaction [Line Items] | ||||
Amounts due or paid to related party | $ 0 | |||
RPAs | Small Business | ||||
Related Party Transaction [Line Items] | ||||
Paid RPAs, amount | $ 400,000 | 7,700,000 | ||
Short Term Employee Leasing Agreement | Small Business | ||||
Related Party Transaction [Line Items] | ||||
Employee lease agreement expense | $ 200,000 |
Variable Interest Entities - Su
Variable Interest Entities - Summary of Carrying Amounts of Consolidated VIE Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||
Restricted cash and cash equivalents | $ 29,460 | $ 26,306 |
Loans and finance receivables, net | 704,705 | 561,550 |
Other receivables and prepaid expenses | 23,817 | 19,524 |
Other assets | 8,837 | 11,051 |
Liabilities | ||
Accounts payable and accrued expenses | 77,123 | 71,671 |
Long-term debt | 788,542 | 649,911 |
Variable Interest Entity, Primary Beneficiary | ||
Assets | ||
Restricted cash and cash equivalents | 21,696 | 19,468 |
Loans and finance receivables, net | 259,996 | 216,766 |
Other receivables and prepaid expenses | 3 | |
Other assets | 178 | 2,459 |
Total assets | 281,870 | 238,696 |
Liabilities | ||
Accounts payable and accrued expenses | 1,671 | 1,350 |
Long-term debt | 208,135 | 163,550 |
Total liabilities | $ 209,806 | $ 164,900 |
Supplemental Disclosures of C91
Supplemental Disclosures of Cash Flow Information - Schedule of Cash and Non-Cash Activities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Cash paid during the year for: | |||
Interest | $ 63,529 | $ 59,609 | $ 49,390 |
Income taxes paid | 17,263 | 19,213 | 40,759 |
Non-cash investing and financing activities: | |||
Loans and finance receivables renewed | $ 322,648 | $ 310,425 | 253,279 |
Liabilities assumed in acquisitions | $ 8,658 |
Operating Segment Information -
Operating Segment Information - Additional Information (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017USD ($)Segment | Dec. 31, 2016USD ($) | |
Segment Reporting [Abstract] | ||
Number of reportable segment | 1 | |
Number of operating segment | 1 | |
Property and equipment, net | $ | $ 48,525 | $ 47,100 |
Operating Segment Information93
Operating Segment Information - Summary of Domestic and International Operations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues [Abstract] | |||||||||||
Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | $ 843,741 | $ 745,569 | $ 652,600 |
Income from operations [Abstract] | |||||||||||
Income from operations | 134,414 | 121,477 | 124,387 | ||||||||
Depreciation and amortization [Abstract] | |||||||||||
Depreciation and amortization | 14,388 | 15,564 | 18,388 | ||||||||
Expenditures for property and equipment [Abstract] | |||||||||||
Expenditures for property and equipment | 16,528 | 14,396 | 32,241 | ||||||||
Property and equipment, net [Abstract] | |||||||||||
Property and equipment, net | 48,525 | 47,100 | 48,525 | 47,100 | |||||||
Assets | |||||||||||
Assets | 1,159,460 | 977,879 | 1,159,460 | 977,879 | |||||||
Domestic | |||||||||||
Revenues [Abstract] | |||||||||||
Revenue | 709,537 | 622,991 | 510,242 | ||||||||
Income from operations [Abstract] | |||||||||||
Income from operations | 233,065 | 204,084 | 183,582 | ||||||||
Depreciation and amortization [Abstract] | |||||||||||
Depreciation and amortization | 6,769 | 6,005 | 7,920 | ||||||||
Expenditures for property and equipment [Abstract] | |||||||||||
Expenditures for property and equipment | 6,449 | 6,955 | 6,268 | ||||||||
Property and equipment, net [Abstract] | |||||||||||
Property and equipment, net | 25,732 | 19,734 | 25,732 | 19,734 | |||||||
Assets | |||||||||||
Assets | 964,697 | 823,390 | 964,697 | 823,390 | |||||||
International | |||||||||||
Revenues [Abstract] | |||||||||||
Revenue | 134,204 | 122,578 | 142,358 | ||||||||
Income from operations [Abstract] | |||||||||||
Income from operations | 6,147 | 19,787 | 42,787 | ||||||||
Depreciation and amortization [Abstract] | |||||||||||
Depreciation and amortization | 1,539 | 2,167 | 2,254 | ||||||||
Expenditures for property and equipment [Abstract] | |||||||||||
Expenditures for property and equipment | 4,589 | 3,158 | 3,797 | ||||||||
Property and equipment, net [Abstract] | |||||||||||
Property and equipment, net | 7,670 | 5,410 | 7,670 | 5,410 | |||||||
Assets | |||||||||||
Assets | 133,449 | 96,606 | 133,449 | 96,606 | |||||||
Corporate Services | |||||||||||
Income from operations [Abstract] | |||||||||||
Income from operations | (104,798) | (102,394) | (101,982) | ||||||||
Depreciation and amortization [Abstract] | |||||||||||
Depreciation and amortization | 6,080 | 7,392 | 8,214 | ||||||||
Expenditures for property and equipment [Abstract] | |||||||||||
Expenditures for property and equipment | 5,490 | 4,283 | $ 22,176 | ||||||||
Property and equipment, net [Abstract] | |||||||||||
Property and equipment, net | 15,123 | 21,956 | 15,123 | 21,956 | |||||||
Assets | |||||||||||
Assets | $ 61,314 | $ 57,883 | $ 61,314 | $ 57,883 |
Operating Segment Information94
Operating Segment Information - Summary of Company's Revenue by Geographical Region (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |
Revenues [Abstract] | |||||||||||
Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | $ 843,741 | $ 745,569 | $ 652,600 |
United States | |||||||||||
Revenues [Abstract] | |||||||||||
Revenue | 709,537 | 622,991 | 510,242 | ||||||||
United Kingdom | |||||||||||
Revenues [Abstract] | |||||||||||
Revenue | 114,838 | 103,478 | 129,703 | ||||||||
Other International Countries | |||||||||||
Revenues [Abstract] | |||||||||||
Revenue | $ 19,366 | $ 19,100 | $ 12,655 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 01, 2017 | May 30, 2014 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Transfer of Liabilities, amount | $ 0 | $ 0 | ||
Transfer of assets, amount | 0 | 0 | ||
Assets fair value non-recurring | 0 | 0 | ||
Liabilities fair value non-recurring | 0 | 0 | ||
Accrual for losses on consumer loan guaranty obligations | $ 2,300,000 | $ 2,000,000 | ||
9.75% Senior Notes Due 2021 | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 7 years | |||
Debt instrument, interest rate | 9.75% | 9.75% | 9.75% | |
Debt instrument, maturity date | Jun. 1, 2021 | Jun. 1, 2021 | ||
8.50% Senior Notes Due 2024 | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 7 years | |||
Debt instrument, interest rate | 8.50% | 8.50% | ||
Debt instrument, maturity date | Sep. 1, 2024 | |||
Maximum | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Cash and cash equivalent maturity period | 90 days | |||
Maximum | Short-term Loans | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 12 months | |||
Maximum | Line of Credit Accounts | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 12 months | |||
Maximum | Installment Loans and RPAs | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 60 months | |||
Maximum | RPAs | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Estimated delivery term | 18 months | |||
Minimum | Installment Loans and RPAs | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Term of loan | 2 months | |||
Minimum | RPAs | ||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||||
Estimated delivery term | 6 months |
Fair Value Measurements - Fair
Fair Value Measurements - Fair Value Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Jun. 23, 2015 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Contingent consideration | $ (2,358) | $ (5,658) | $ (5,700) | ||
Level 3 | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Contingent consideration | (2,358) | $ (5,658) | |||
Fair Value, Measurements, Recurring | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Forward currency exchange contracts | $ (55) | ||||
Nonqualified savings plan assets | [1] | 1,460 | 1,590 | ||
Contingent consideration | (2,358) | ||||
Total | 1,405 | (768) | |||
Fair Value, Measurements, Recurring | Level 1 | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Nonqualified savings plan assets | [1] | 1,460 | 1,590 | ||
Total | 1,460 | 1,590 | |||
Fair Value, Measurements, Recurring | Level 2 | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Forward currency exchange contracts | (55) | ||||
Total | $ (55) | ||||
Fair Value, Measurements, Recurring | Level 3 | |||||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | |||||
Contingent consideration | (2,358) | ||||
Total | $ (2,358) | ||||
[1] | The non-qualified savings plan assets have an offsetting liability of a greater amount, which is included in “Accounts payable and accrued expenses” in the Company’s consolidated balance sheets. |
Fair Value Measurements - Fai97
Fair Value Measurements - Fair Value Measurement for Contingent Consideration (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2017 | Dec. 31, 2016 | |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Contingent consideration, Beginning balance | $ 2,358 | $ 5,658 |
Contingent consideration, Remeasurement of contingent consideration | (2,358) | (3,300) |
Contingent consideration, Ending balance | 2,358 | |
Level 3 | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Contingent consideration, Beginning balance | 2,358 | 5,658 |
Contingent consideration, Remeasurement of contingent consideration | $ (2,358) | (3,300) |
Contingent consideration, Ending balance | $ 2,358 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities Not Measured at Fair Value (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Financial liabilities: | |||||
Liability for estimated losses on consumer loans guaranteed by the Company | $ 2,258 | $ 1,996 | $ 1,756 | $ 1,576 | |
Carrying Value | |||||
Financial assets: | |||||
Cash and cash equivalents | 68,684 | 39,934 | |||
Short-term loans and line of credit accounts, net | [1] | 192,675 | 162,824 | ||
Installment loans and RPAs, net | [1] | 512,030 | 398,726 | ||
Restricted cash | 29,460 | 26,306 | |||
Investment in unconsolidated investee | [2],[3] | 6,703 | 6,703 | ||
Total | 809,552 | 634,493 | |||
Financial liabilities: | |||||
Liability for estimated losses on consumer loans guaranteed by the Company | 2,258 | 1,996 | |||
Promissory note | 3,000 | 3,000 | |||
Securitization Notes | 211,406 | 165,419 | |||
Total | 809,222 | 666,037 | |||
Carrying Value | 9.75% Senior Notes Due 2021 | |||||
Financial liabilities: | |||||
Senior notes | 342,558 | 495,622 | |||
Carrying Value | 8.50% Senior Notes Due 2024 | |||||
Financial liabilities: | |||||
Senior notes | 250,000 | ||||
Level 1 | Estimated Fair Value | |||||
Financial assets: | |||||
Cash and cash equivalents | 68,684 | 39,934 | |||
Restricted cash | 29,460 | 26,306 | |||
Total | 98,144 | 66,240 | |||
Level 2 | Estimated Fair Value | |||||
Financial liabilities: | |||||
Securitization Notes | 215,063 | 168,216 | |||
Total | 835,763 | 664,156 | |||
Level 2 | Estimated Fair Value | 9.75% Senior Notes Due 2021 | |||||
Financial liabilities: | |||||
Senior notes | 365,700 | 495,940 | |||
Level 2 | Estimated Fair Value | 8.50% Senior Notes Due 2024 | |||||
Financial liabilities: | |||||
Senior notes | 255,000 | ||||
Level 3 | Estimated Fair Value | |||||
Financial assets: | |||||
Short-term loans and line of credit accounts, net | [1] | 192,675 | 162,824 | ||
Installment loans and RPAs, net | [1] | 544,799 | 430,895 | ||
Investment in unconsolidated investee | [2],[3] | 6,703 | 6,703 | ||
Total | 744,177 | 600,422 | |||
Financial liabilities: | |||||
Liability for estimated losses on consumer loans guaranteed by the Company | 2,258 | 1,996 | |||
Promissory note | 3,287 | 3,111 | |||
Total | $ 5,545 | $ 5,107 | |||
[1] | Short-term loans, line of credit accounts and installment loans and RPAs are included in “Loans and finance receivables, net” in the consolidated balance sheets. | ||||
[2] | Investment in unconsolidated investee is included in “Other assets” in the consolidated balance sheets. | ||||
[3] | See Note 1 for additional information related to the investment in unconsolidated investee. |
Fair Value Measurements - Fin99
Fair Value Measurements - Financial Assets and Liabilities Not Measured at Fair Value (Parenthetical) (Detail) | 12 Months Ended | |||
Dec. 31, 2017 | Dec. 31, 2016 | Sep. 01, 2017 | May 30, 2014 | |
9.75% Senior Notes Due 2021 | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt instrument, interest rate | 9.75% | 9.75% | 9.75% | |
Debt instrument, maturity date | Jun. 1, 2021 | Jun. 1, 2021 | ||
8.50% Senior Notes Due 2024 | ||||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||||
Debt instrument, interest rate | 8.50% | 8.50% | ||
Debt instrument, maturity date | Sep. 1, 2024 |
Condensed Consolidating Fina100
Condensed Consolidating Financial Statements - Additional Information (Detail) | Dec. 31, 2017 |
Guarantor Subsidiaries | |
Condensed Financial Statements Captions [Line Items] | |
Percentage of ownership | 100.00% |
Condensed Consolidating Fina101
Condensed Consolidating Financial Statements - Condensed Consolidating Balance Sheets - (Detail) - USD ($) $ in Thousands | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Assets | ||||
Cash and cash equivalents | $ 68,684 | $ 39,934 | $ 42,066 | $ 75,106 |
Restricted cash | 29,460 | 26,306 | ||
Loans and finance receivables, net | 704,705 | 561,550 | ||
Income taxes receivable | 4,092 | |||
Other receivables and prepaid expenses | 23,817 | 19,524 | ||
Property and equipment, net | 48,525 | 47,100 | ||
Goodwill | 267,015 | 267,010 | 267,008 | |
Intangible assets, net | 4,325 | 5,404 | ||
Other assets | 8,837 | 11,051 | ||
Total assets | 1,159,460 | 977,879 | ||
Liabilities and Stockholders' Equity | ||||
Accounts payable and accrued expenses | 77,123 | 71,671 | ||
Income taxes currently payable | 282 | |||
Deferred tax liabilities, net | 12,108 | 14,316 | ||
Long-term debt | 788,542 | 649,911 | ||
Total liabilities | 877,773 | 736,180 | ||
Commitments and contingencies | ||||
Stockholders' equity | 281,687 | 241,699 | 205,968 | 153,984 |
Total liabilities and stockholders' equity | 1,159,460 | 977,879 | ||
Parent | ||||
Assets | ||||
Cash and cash equivalents | 12,183 | |||
Income taxes receivable | 114,494 | |||
Other receivables and prepaid expenses | 833 | 127 | ||
Investment in subsidiaries | 388,538 | 294,647 | ||
Intercompany receivable | 354,457 | 363,941 | ||
Other assets | 1,785 | 597 | ||
Total assets | 872,290 | 659,312 | ||
Liabilities and Stockholders' Equity | ||||
Accounts payable and accrued expenses | 10,336 | 4,310 | ||
Income taxes currently payable | (72,704) | |||
Deferred tax liabilities, net | (140) | (354) | ||
Long-term debt | 580,407 | 486,361 | ||
Total liabilities | 590,603 | 417,613 | ||
Commitments and contingencies | ||||
Stockholders' equity | 281,687 | 241,699 | ||
Total liabilities and stockholders' equity | 872,290 | 659,312 | ||
Guarantor Subsidiaries | ||||
Assets | ||||
Cash and cash equivalents | 54,659 | 36,057 | 40,927 | 72,367 |
Restricted cash | 7,764 | 6,838 | ||
Loans and finance receivables, net | 442,516 | 335,161 | ||
Income taxes receivable | (110,852) | |||
Other receivables and prepaid expenses | 20,731 | 19,095 | ||
Property and equipment, net | 47,965 | 46,507 | ||
Goodwill | 267,015 | 267,010 | ||
Intangible assets, net | 4,325 | 5,400 | ||
Investment in subsidiaries | 63,956 | 25,131 | ||
Other assets | 6,874 | 7,995 | ||
Total assets | 804,953 | 749,194 | ||
Liabilities and Stockholders' Equity | ||||
Accounts payable and accrued expenses | 64,541 | 65,714 | ||
Intercompany payables | 331,425 | 295,764 | ||
Income taxes currently payable | 73,006 | |||
Deferred tax liabilities, net | 12,726 | 15,156 | ||
Total liabilities | 408,692 | 449,640 | ||
Commitments and contingencies | ||||
Stockholders' equity | 396,261 | 299,554 | ||
Total liabilities and stockholders' equity | 804,953 | 749,194 | ||
Non-Guarantor Subsidiaries | ||||
Assets | ||||
Cash and cash equivalents | 1,842 | 3,877 | $ 1,139 | $ 2,739 |
Restricted cash | 21,696 | 19,468 | ||
Loans and finance receivables, net | 262,189 | 226,390 | ||
Income taxes receivable | 450 | |||
Other receivables and prepaid expenses | 2,253 | 302 | ||
Property and equipment, net | 560 | 593 | ||
Intangible assets, net | 4 | |||
Other assets | 178 | 2,459 | ||
Total assets | 289,168 | 253,093 | ||
Liabilities and Stockholders' Equity | ||||
Accounts payable and accrued expenses | 2,246 | 1,647 | ||
Intercompany payables | 23,032 | 68,179 | ||
Income taxes currently payable | (20) | |||
Deferred tax liabilities, net | (478) | (486) | ||
Long-term debt | 208,135 | 163,550 | ||
Total liabilities | 232,935 | 232,870 | ||
Commitments and contingencies | ||||
Stockholders' equity | 56,233 | 20,223 | ||
Total liabilities and stockholders' equity | 289,168 | 253,093 | ||
Eliminations | ||||
Assets | ||||
Investment in subsidiaries | (452,494) | (319,778) | ||
Intercompany receivable | (354,457) | (363,941) | ||
Total assets | (806,951) | (683,719) | ||
Liabilities and Stockholders' Equity | ||||
Intercompany payables | (354,457) | (363,943) | ||
Total liabilities | (354,457) | (363,943) | ||
Commitments and contingencies | ||||
Stockholders' equity | (452,494) | (319,777) | ||
Total liabilities and stockholders' equity | $ (806,951) | $ (683,720) |
Condensed Consolidating Fina102
Condensed Consolidating Financial Statements - Condensed Consolidating Statements of Income and Comprehensive Income - (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | ||
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | $ 843,741 | $ 745,569 | $ 652,600 | |
Cost of Revenue | 127,545 | 107,341 | 79,862 | 81,884 | 97,545 | 95,391 | 65,453 | 69,577 | 396,632 | 327,966 | 216,858 | |
Gross Profit | 116,151 | 110,537 | 110,042 | 110,379 | 104,893 | 100,552 | 107,082 | 105,076 | 447,109 | 417,603 | 435,742 | |
Expenses | ||||||||||||
Marketing | 101,429 | 97,404 | 116,882 | |||||||||
Operations and technology | 95,155 | 85,202 | 74,012 | |||||||||
General and administrative | 101,723 | 97,956 | 102,073 | |||||||||
Depreciation and amortization | 14,388 | 15,564 | 18,388 | |||||||||
Total Expenses | 312,695 | 296,126 | 311,355 | |||||||||
Income from Operations | 134,414 | 121,477 | 124,387 | |||||||||
Interest expense, net | (74,003) | (65,603) | (52,883) | |||||||||
Foreign currency transaction gain (loss), net | 384 | 1,562 | (985) | |||||||||
(Loss) gain on early extinguishment of debt | (22,895) | |||||||||||
Income before Income Taxes | 37,900 | 57,436 | 70,519 | |||||||||
(Benefit from) provision for income taxes | 8,660 | 22,834 | 26,527 | |||||||||
(Loss) Income before Equity in Net Earnings of Subsidiaries | 29,240 | 34,602 | 43,992 | |||||||||
Net Income | $ 6,883 | $ (3,368) | $ 11,873 | $ 13,852 | $ 8,714 | $ 7,837 | $ 8,188 | $ 9,863 | 29,240 | 34,602 | 43,992 | |
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | [1] | 4,492 | (6,956) | (1,451) | ||||||||
Total other comprehensive gain (loss), net of tax | 4,492 | (6,956) | (1,451) | |||||||||
Comprehensive Income | 33,732 | 27,646 | 42,541 | |||||||||
Foreign currency transaction gain (loss) | 384 | 1,562 | (985) | |||||||||
Parent | ||||||||||||
Expenses | ||||||||||||
General and administrative | 360 | 315 | 673 | |||||||||
Total Expenses | 360 | 315 | 673 | |||||||||
Income from Operations | (360) | (315) | (673) | |||||||||
Interest expense, net | (55,506) | (53,512) | (52,816) | |||||||||
Foreign currency transaction gain (loss), net | 381 | 1,569 | 532 | |||||||||
(Loss) gain on early extinguishment of debt | (14,927) | |||||||||||
Income before Income Taxes | (70,412) | (52,258) | (52,957) | |||||||||
(Benefit from) provision for income taxes | (16,089) | (20,776) | (19,921) | |||||||||
(Loss) Income before Equity in Net Earnings of Subsidiaries | (54,323) | (31,482) | (33,036) | |||||||||
Net earnings of subsidiaries | 83,563 | 66,084 | 77,028 | |||||||||
Net Income | 29,240 | 34,602 | 43,992 | |||||||||
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | 4,492 | (6,956) | (1,451) | |||||||||
Total other comprehensive gain (loss), net of tax | 4,492 | (6,956) | (1,451) | |||||||||
Comprehensive Income | 33,732 | 27,646 | 42,541 | |||||||||
Foreign currency transaction gain (loss) | 381 | 1,569 | 532 | |||||||||
Guarantor Subsidiaries | ||||||||||||
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Revenue | 696,446 | 653,517 | 650,295 | |||||||||
Cost of Revenue | 313,815 | 260,996 | 215,637 | |||||||||
Gross Profit | 382,631 | 392,521 | 434,658 | |||||||||
Expenses | ||||||||||||
Marketing | 99,522 | 95,972 | 116,330 | |||||||||
Operations and technology | 85,899 | 80,999 | 71,993 | |||||||||
General and administrative | 97,762 | 95,840 | 100,642 | |||||||||
Depreciation and amortization | 14,209 | 15,464 | 18,350 | |||||||||
Total Expenses | 297,392 | 288,275 | 307,315 | |||||||||
Income from Operations | 85,239 | 104,246 | 127,343 | |||||||||
Interest expense, net | (152) | 562 | (71) | |||||||||
Foreign currency transaction gain (loss), net | 3 | (7) | (1,516) | |||||||||
(Loss) gain on early extinguishment of debt | (8,594) | |||||||||||
Income before Income Taxes | 76,496 | 104,801 | 125,756 | |||||||||
(Benefit from) provision for income taxes | 17,479 | 41,665 | 47,306 | |||||||||
(Loss) Income before Equity in Net Earnings of Subsidiaries | 59,017 | 63,136 | 78,450 | |||||||||
Net earnings of subsidiaries | 24,546 | 2,948 | (1,422) | |||||||||
Net Income | 83,563 | 66,084 | 77,028 | |||||||||
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | 4,963 | (8,269) | (245) | |||||||||
Total other comprehensive gain (loss), net of tax | 4,963 | (8,269) | (245) | |||||||||
Comprehensive Income | 88,526 | 57,815 | 76,783 | |||||||||
Foreign currency transaction gain (loss) | 3 | (7) | (1,516) | |||||||||
Non-Guarantor Subsidiaries | ||||||||||||
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Revenue | 151,233 | 95,646 | 2,305 | |||||||||
Cost of Revenue | 82,817 | 66,970 | 1,221 | |||||||||
Gross Profit | 68,416 | 28,676 | 1,084 | |||||||||
Expenses | ||||||||||||
Marketing | 1,907 | 1,432 | 552 | |||||||||
Operations and technology | 10,660 | 4,203 | 2,019 | |||||||||
General and administrative | 6,135 | 5,395 | 758 | |||||||||
Depreciation and amortization | 179 | 100 | 38 | |||||||||
Total Expenses | 18,881 | 11,130 | 3,367 | |||||||||
Income from Operations | 49,535 | 17,546 | (2,283) | |||||||||
Interest expense, net | (18,345) | (12,653) | 4 | |||||||||
Foreign currency transaction gain (loss), net | (1) | |||||||||||
(Loss) gain on early extinguishment of debt | 626 | |||||||||||
Income before Income Taxes | 31,816 | 4,893 | (2,280) | |||||||||
(Benefit from) provision for income taxes | 7,270 | 1,945 | (858) | |||||||||
(Loss) Income before Equity in Net Earnings of Subsidiaries | 24,546 | 2,948 | (1,422) | |||||||||
Net Income | 24,546 | 2,948 | (1,422) | |||||||||
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | (471) | 1,331 | (866) | |||||||||
Total other comprehensive gain (loss), net of tax | (471) | 1,331 | (866) | |||||||||
Comprehensive Income | 24,075 | 4,279 | (2,288) | |||||||||
Foreign currency transaction gain (loss) | (1) | |||||||||||
Eliminations | ||||||||||||
Condensed Financial Statements Captions [Line Items] | ||||||||||||
Revenue | (3,938) | (3,594) | ||||||||||
Gross Profit | (3,938) | (3,594) | ||||||||||
Expenses | ||||||||||||
Operations and technology | (1,404) | |||||||||||
General and administrative | (2,534) | (3,594) | ||||||||||
Total Expenses | (3,938) | (3,594) | ||||||||||
Net earnings of subsidiaries | (108,109) | (69,032) | (75,606) | |||||||||
Net Income | (108,109) | (69,032) | (75,606) | |||||||||
Other comprehensive gain (loss), net of tax: | ||||||||||||
Foreign currency translation gain (loss) | (4,492) | 6,938 | 1,111 | |||||||||
Total other comprehensive gain (loss), net of tax | (4,492) | 6,938 | 1,111 | |||||||||
Comprehensive Income | $ (112,601) | $ (62,094) | $ (74,495) | |||||||||
[1] | Net of tax (provision) benefit of $(2,517), $3,939 and $592 for the years ended December 31, 2017, 2016 and 2015, respectively. |
Condensed Consolidating Fina103
Condensed Consolidating Financial Statements - Condensed Consolidating Statements of Cash Flows - (Detail) - USD ($) $ in Thousands | Jun. 23, 2015 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 |
Condensed Cash Flow Statements Captions [Line Items] | ||||
Cash Flows from Operating Activities | $ 447,173 | $ 393,373 | $ 283,921 | |
Cash Flows from Investing Activities | ||||
Loans and finance receivables originated or acquired | (1,419,399) | (1,308,197) | (1,172,169) | |
Loans and finance receivables repaid | 909,554 | 858,048 | 849,358 | |
Change in restricted cash | (2,565) | (20,126) | ||
Acquisitions | $ (17,700) | (17,735) | ||
Purchases of property and equipment | (16,528) | (14,396) | (32,241) | |
Other investing activities | 1,805 | 95 | 618 | |
Net cash used in investing activities | (527,133) | (484,576) | (372,169) | |
Cash Flows from Financing Activities | ||||
Debt issuance costs paid | (14,662) | (6,702) | (1,596) | |
Debt prepayment penalty paid | (16,694) | |||
Treasury shares purchased | (5,079) | (437) | (187) | |
Issuance of senior notes | 250,000 | |||
Repayments of senior notes | (155,000) | |||
Borrowings under revolving line of credit | 30,000 | 58,400 | 63,400 | |
Repayments under revolving line of credit | (30,000) | (116,800) | (5,000) | |
Borrowings under securitization facility | 359,842 | 280,075 | ||
Repayments under securitization facility | (313,853) | (114,656) | ||
Proceeds from exercise of stock options | 28 | |||
Net cash provided by financing activities | 104,582 | 99,880 | 56,617 | |
Effect of exchange rates on cash | 4,128 | (10,809) | (1,409) | |
Net increase (decrease) in cash and cash equivalents | 28,750 | (2,132) | (33,040) | |
Cash and cash equivalents at beginning of year | 39,934 | 42,066 | 75,106 | |
Cash and cash equivalents at end of period | 68,684 | 39,934 | 42,066 | |
Parent | ||||
Condensed Cash Flow Statements Captions [Line Items] | ||||
Cash Flows from Operating Activities | (50,319) | 59,337 | 31,259 | |
Cash Flows from Investing Activities | ||||
Capital contributions to subsidiaries | (87,876) | |||
Net cash used in investing activities | (87,876) | |||
Cash Flows from Financing Activities | ||||
Debt issuance costs paid | (10,753) | (500) | (1,596) | |
Debt prepayment penalty paid | (16,694) | |||
Treasury shares purchased | (5,079) | (437) | (187) | |
Issuance of senior notes | 250,000 | |||
Repayments of senior notes | (155,000) | |||
Borrowings under revolving line of credit | 30,000 | 58,400 | 63,400 | |
Repayments under revolving line of credit | (30,000) | (116,800) | (5,000) | |
Proceeds from exercise of stock options | 28 | |||
Net cash provided by financing activities | 62,502 | (59,337) | 56,617 | |
Net increase (decrease) in cash and cash equivalents | 12,183 | |||
Cash and cash equivalents at end of period | 12,183 | |||
Guarantor Subsidiaries | ||||
Condensed Cash Flow Statements Captions [Line Items] | ||||
Cash Flows from Operating Activities | 616,042 | 296,876 | 331,954 | |
Cash Flows from Investing Activities | ||||
Loans and finance receivables originated or acquired | (1,401,302) | (1,293,273) | (1,167,107) | |
Securitized loans transferred | 231,863 | 359,000 | ||
Loans and finance receivables repaid | 621,495 | 669,088 | 849,638 | |
Change in restricted cash | (337) | (658) | ||
Acquisitions | (17,735) | |||
Purchases of property and equipment | (16,375) | (14,007) | (31,977) | |
Capital contributions to subsidiaries | (11,935) | (10,255) | (7,255) | |
Other investing activities | 1,805 | 95 | 618 | |
Net cash used in investing activities | (574,786) | (290,010) | (373,818) | |
Cash Flows from Financing Activities | ||||
(Payments for) proceeds from member's equity | (26,890) | (699) | 11,279 | |
Net cash provided by financing activities | (26,890) | (699) | 11,279 | |
Effect of exchange rates on cash | 4,236 | (11,037) | (855) | |
Net increase (decrease) in cash and cash equivalents | 18,602 | (4,870) | (31,440) | |
Cash and cash equivalents at beginning of year | 36,057 | 40,927 | 72,367 | |
Cash and cash equivalents at end of period | 54,659 | 36,057 | 40,927 | |
Non-Guarantor Subsidiaries | ||||
Condensed Cash Flow Statements Captions [Line Items] | ||||
Cash Flows from Operating Activities | (91,660) | 37,859 | (2,695) | |
Cash Flows from Investing Activities | ||||
Loans and finance receivables originated or acquired | (29,720) | (14,924) | (5,062) | |
Securitized loans transferred | (231,863) | (359,000) | ||
Loans and finance receivables repaid | 299,682 | 188,960 | (280) | |
Change in restricted cash | (2,228) | (19,468) | ||
Purchases of property and equipment | (153) | (389) | (264) | |
Net cash used in investing activities | 35,718 | (204,821) | (5,606) | |
Cash Flows from Financing Activities | ||||
(Payments for) proceeds from member's equity | 11,935 | 10,255 | 7,255 | |
Debt issuance costs paid | (3,909) | (6,202) | ||
Borrowings under securitization facility | 359,842 | 280,075 | ||
Repayments under securitization facility | (313,853) | (114,656) | ||
Net cash provided by financing activities | 54,015 | 169,472 | 7,255 | |
Effect of exchange rates on cash | (108) | 228 | (554) | |
Net increase (decrease) in cash and cash equivalents | (2,035) | 2,738 | (1,600) | |
Cash and cash equivalents at beginning of year | 3,877 | 1,139 | 2,739 | |
Cash and cash equivalents at end of period | 1,842 | 3,877 | 1,139 | |
Eliminations | ||||
Condensed Cash Flow Statements Captions [Line Items] | ||||
Cash Flows from Operating Activities | (26,890) | (699) | (76,597) | |
Cash Flows from Investing Activities | ||||
Loans and finance receivables originated or acquired | 11,623 | |||
Loans and finance receivables repaid | (11,623) | |||
Capital contributions to subsidiaries | 11,935 | 10,255 | 95,131 | |
Net cash used in investing activities | 11,935 | 10,255 | 95,131 | |
Cash Flows from Financing Activities | ||||
(Payments for) proceeds from member's equity | 14,955 | (9,556) | (18,534) | |
Net cash provided by financing activities | $ 14,955 | $ (9,556) | $ (18,534) |
Quarterly Financial Data (Un104
Quarterly Financial Data (Unaudited) - Summary of Quarterly Financial Data (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||||||||||
Dec. 31, 2017 | Sep. 30, 2017 | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2017 | Dec. 31, 2016 | Dec. 31, 2015 | |||||||||
Quarterly Financial Data [Abstract] | |||||||||||||||||||
Total Revenue | $ 243,696 | $ 217,878 | $ 189,904 | $ 192,263 | $ 202,438 | $ 195,943 | $ 172,535 | $ 174,653 | $ 843,741 | $ 745,569 | $ 652,600 | ||||||||
Cost of Revenue | 127,545 | 107,341 | 79,862 | 81,884 | 97,545 | 95,391 | 65,453 | 69,577 | 396,632 | 327,966 | 216,858 | ||||||||
Gross Profit | 116,151 | 110,537 | 110,042 | 110,379 | 104,893 | 100,552 | 107,082 | 105,076 | 447,109 | 417,603 | 435,742 | ||||||||
Net income | $ 6,883 | $ (3,368) | $ 11,873 | $ 13,852 | $ 8,714 | $ 7,837 | $ 8,188 | $ 9,863 | $ 29,240 | $ 34,602 | $ 43,992 | ||||||||
Diluted | $ 0.20 | $ (0.10) | $ 0.35 | $ 0.41 | $ 0.26 | $ 0.23 | $ 0.25 | $ 0.30 | $ 0.86 | $ 1.03 | $ 1.33 | ||||||||
Diluted weighted average common shares | 34,172 | [1] | 33,670 | [1] | 34,125 | [1] | 34,036 | [1] | 33,767 | [1] | 33,558 | [1] | 33,335 | [1] | 33,187 | [1] | 34,132 | 33,462 | 33,026 |
[1] | See Note 1 for Basis of Presentation. |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) | Jan. 22, 2018 | Dec. 31, 2017 |
Subsequent Event [Line Items] | ||
Loss on early extinguishment of debt | $ 22,895,000 | |
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | ||
Subsequent Event [Line Items] | ||
Loss on early extinguishment of debt | $ 14,900,000 | |
$500.0 Million 9.75% Senior Unsecured Notes Due 2021 | Subsequent Event | ||
Subsequent Event [Line Items] | ||
Principal amount redeemed | $ 50,000,000 | |
Note redemption rate | 107.313% | |
Loss on early extinguishment of debt | $ 4,700,000 |