CPS Announces Third Quarter 2025 Earnings

Revenues of $108.4 million compared to $100.6 million in the prior year period
Pretax income of $7.0 million compared to $6.9 million in the prior year period
New contract purchases of $391.1 million in the quarter

LAS VEGAS, NV, Nov. 10, 2025 (GLOBE NEWSWIRE) -- Consumer Portfolio Services, Inc. (Nasdaq: CPSS) (“CPS” or the “Company”) today announced earnings of $4.9 million, or $0.20 per diluted share, for its third quarter ended September 30, 2025. This represents an increase compared to net income of $4.8 million, or $0.20 per diluted share, in the third quarter of 2024.

Revenues for the third quarter of 2025 were $108.4 million, an increase of $7.8 million, or 7.8%, compared to $100.6 million for the third quarter of 2024. Total operating expenses for the third quarter of 2025 were $101.4 million compared to $93.7 million for the 2024 period. Pretax income for the third quarter of 2025 increased to $7.0 million, from $6.9 million in the third quarter of 2024.

For the nine months ended September 30, 2025, total revenues were $325.1 million, an increase of approximately $36.9 million, or 12.8% compared to $288.2 million for the nine months ended September 30, 2024. Total operating expenses for the nine months ended September 30, 2025, were $304.3 million, compared to $268.1 million for the nine months ended September 30, 2024. Pretax income for the nine months ended September 30, 2025, was $20.8 million, compared to $20.1 million for the nine months ended September 30, 2024. Net income for the nine months ended September 30, 2025, increased to $14.3 million from $14.1 million for the nine months ended September 30, 2024.

For the nine months ended, CPS purchased $1.275 billion of new contracts compared to $1.224 billion during the first nine months of 2024. The Company's receivables totaled $3.760 billion as of September 30, 2025, an increase from $3.708 billion as of June 30, 2025, and an increase from $3.330 billion as of September 30, 2024.

Annualized net charge-offs for the third quarter of 2025 were 8.01% of the average portfolio as compared to 7.32% for the third quarter of 2024. Delinquencies greater than 30 days (including repossession inventory) were 13.96% of the total portfolio as of September 30, 2025, as compared to 14.04% as of September 30, 2024.

"We are pleased with the results for the third quarter," said Charles E. Bradley, Chief Executive Officer. "New loan origination volumes remain strong, which is driving top line revenue growth, while operational efficiencies continue to be achieved.”

Conference Call

CPS announced that it will hold a conference call on November 11, 2025, at 1:00 p.m. ET to discuss its third quarter 2025 operating results.

Those wishing to participate can pre-register for the conference call at the following link https://register-conf.media-server.com/register/BIe8f56c2169754318a431cab167afe726. Registered participants will receive an email containing conference call details for dial-in options. To avoid delays, we encourage participants to dial into the conference call fifteen minutes ahead of the schedule start time. A replay will be available beginning two hours after conclusion of the call for 12 months via the Company’s website at https://ir.consumerportfolio.com/investor-relations.

About Consumer Portfolio Services, Inc.

Consumer Portfolio Services, Inc. is an independent specialty finance company that provides indirect automobile financing to individuals with past credit problems or limited credit histories. We purchase retail installment sales contracts primarily from franchised automobile dealerships secured by late model used vehicles and, to a lesser extent, new vehicles. We fund these contract purchases on a long-term basis primarily through the securitization markets and service the contracts over their lives.

Forward-looking statements in this news release include the Company's recorded figures representing allowances for remaining expected lifetime credit losses, its estimates of fair value (most significantly for its receivables accounted for at fair value), its provision for credit losses, its entries offsetting the preceding, and figures derived from any of the preceding. In each case, such figures are forward-looking statements because they are dependent on the Company’s estimates of losses to be incurred in the future. The accuracy of such estimates may be adversely affected by various factors, which include the following: possible increased delinquencies; repossessions and losses on retail installment contracts; incorrect prepayment speed and/or discount rate assumptions; possible unavailability of qualified personnel, which could adversely affect the Company’s ability to service its portfolio; possible increases in the rate of consumer bankruptcy filings, which could adversely affect the Company’s rights to collect payments from its portfolio; other changes in government regulations affecting consumer credit; possible declines in the market price for used vehicles, which could adversely affect the Company’s realization upon repossessed vehicles; and economic conditions in geographic areas in which the Company's business is concentrated. Any or all of such factors also may affect the Company’s future financial results, as to which there can be no assurance. Any implication that the results of the most recently completed quarter are indicative of future results is disclaimed, and the reader should draw no such inference. Factors such as those identified above in relation to losses to be incurred in the future may affect future performance.

Investor Relations Contact

Danny Bharwani, Chief Financial Officer

949-753-6811

Consumer Portfolio Services, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(In thousands, except per share data)
(Unaudited)

	Three months ended						Nine months ended
	September 30,						September 30,
	2025			2024			2025			2024
Revenues:
Interest income	$	107,166		$	93,158		$	314,462		$	265,812
Mark to finance receivables measured at fair value		-			5,500			6,500			16,000
Other income		1,255			1,922			4,098			6,391
		108,421			100,580			325,060			288,203
Expenses:
Employee costs		22,465			24,162			71,860			72,303
General and administrative		13,421			13,276			40,147			40,288
Interest		59,098			50,056			172,720			138,735
Provision for credit losses		(712	)		(994	)		(2,472	)		(4,579	)
Other expenses		7,117			7,229			22,019			21,376
		101,389			93,729			304,274			268,123
Income before income taxes		7,032			6,851			20,786			20,080
Income tax expense		2,179			2,055			6,442			6,022
Net income	$	4,853		$	4,796		$	14,344		$	14,058

Earnings per share:
Basic	$	0.22		$	0.22		$	0.66		$	0.66
Diluted	$	0.20		$	0.20		$	0.59		$	0.58


Number of shares used in computing earnings
per share:
Basic		22,209			21,343			21,852			21,250
Diluted		24,046			24,153			24,187			24,340


Condensed Consolidated Balance Sheets
(In thousands)
(Unaudited)


	September 30,			December 31,
	2025			2024
Assets:
Cash and cash equivalents	$	9,388		$	11,713
Restricted cash and equivalents		142,506			125,684
Finance receivables measured at fair value		3,624,941			3,313,767
Finance receivables, net		977			4,987
Other assets		31,964			37,717
	$	3,809,776		$	3,493,868

Liabilities and Shareholders' Equity:
Accounts payable and accrued expenses	$	67,037		$	70,151
Warehouse lines of credit		340,645			410,898
Residual interest financing		149,501			99,176
Securitization trust debt		2,916,439			2,594,384
Subordinated renewable notes		28,589			26,489
		3,502,211			3,201,098

Shareholders' equity		307,565			292,770
	$	3,809,776		$	3,493,868



Operating and Performance Data ($ in millions)



	At and for the						At and for the
	Three months ended						Nine months ended
	September 30,						September 30,
	2025			2024			2025			2024

Contracts purchased	$	391.06		$	445.95		$	1,275.29		$	1,224.13
Contracts securitized	$	433.50		$	436.00			1,335.33			1,533.86

Total portfolio balance (1)	$	3,760.32		$	3,329.84		$	3,760.32		$	3,329.84
Average portfolio balance (1)	$	3,745.33		$	3,278.34			3,666.98			3,131.48


Delinquencies (1)
31+ Days		11.12	%		11.25	%
Repossession Inventory		2.84	%		2.79	%
Total Delinquencies and Repo. Inventory		13.96	%		14.04	%

Annualized Net Charge-offs as % of Average Portfolio (1)		8.01	%		7.32	%		7.67	%		7.47	%

Recovery rates (1), (2)		28.7	%		29.1	%		28.9	%		31.1	%

	For the										For the
	Three months ended										Nine months ended
	September 30,										September 30,
	2025					2024					2025					2024
	$(3)			% (4)		$(3)			% (4)		$(3)			% (4)		$(3)			% (4)
Interest income	$	107.17		11.4	%	$	93.16		11.4	%	$	314.46		11.4	%	$	265.81		11.3	%
Mark to finance receivables measured at fair value		-		0.0	%		5.50		0.7	%		6.50		0.2	%		16.00		0.7	%
Other income		1.26		0.1	%		1.92		0.2	%		4.10		0.1	%		6.39		0.3	%
Interest expense		(59.10	)	-6.3	%		(50.06	)	-6.1	%		(172.72	)	-6.3	%		(138.74	)	-5.9	%
Net interest margin		49.32		5.3	%		50.52		6.2	%		152.34		5.5	%		149.47		6.4	%
Provision for credit losses		0.71		0.1	%		0.99		0.1	%		2.47		0.1	%		4.58		0.2	%
Risk adjusted margin		50.04		5.3	%		51.52		6.3	%		154.81		5.6	%		154.05		6.6	%
Other operating expenses (5)		(43.00	)	-4.6	%		(44.67	)	-5.4	%		(134.03	)	-4.9	%		(133.97	)	-5.7	%
Pre-tax income	$	7.03		0.8	%	$	6.85		0.8	%	$	20.79		0.8	%	$	20.08		0.9	%



(1) Excludes third party portfolios.
(2) Wholesale auction liquidation amounts (net of expenses) as a percentage of the account balance at the time of sale.
(3) Numbers may not add due to rounding.
(4) Annualized percentage of the average portfolio balance. Percentages may not add due to rounding.
(5) Total pre-tax expenses less provision for credit losses and interest expense.

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