Enova International Inc (ENVA, Financial), a leading financial technology company, announced its financial results for the third quarter ended September 30, 2023, on October 24, 2023. The company reported a 21% increase in total revenue from the third quarter of 2022 to a record $551 million. The diluted earnings per share totaled $1.29, and the adjusted earnings per share totaled $1.50. The company's total combined loans and finance receivables increased 15% from the end of the third quarter of 2022 to $3.1 billion.
Financial Highlights
Enova reported a net income of $41 million, or $1.29 per diluted share, in the third quarter of 2023 compared to $52 million, or $1.57 per diluted share, in the third quarter of 2022. The company's third quarter 2023 adjusted EBITDA, a non-GAAP measure, was $121 million compared to $115 million in the third quarter of 2022.
The company's liquidity, including cash and marketable securities and available capacity on facilities, totaled $952 million at the end of September. During the quarter, the company repurchased $36 million of common stock under its share repurchase program and purchased and retired $10 million of senior notes.
Share Repurchase Program
On October 23, the Board of Directors authorized a new share repurchase program totaling $300 million that expires December 31, 2024. The existing $150 million repurchase program that would have expired on December 31, 2023, will terminate and be replaced by this new program.
Company's Performance Analysis
Enova's CEO, David Fisher, expressed satisfaction with the company's strong quarter of origination and revenue growth, driven by solid demand and stable credit. He attributed the company's success to its diversified product offerings, world-class machine learning risk management algorithms, and strong balance sheet. The newly announced $300 million share repurchase program positions the company to create even more meaningful opportunities to drive value for its shareholders.
Financial Tables Summary
The company's consolidated balance sheet as of September 30, 2023, showed total assets of $4.1 billion, up from $3.5 billion as of December 31, 2022. The company's total liabilities and stockholders' equity also increased to $4.1 billion from $3.8 billion over the same period.
The consolidated statement of income for the three months ended September 30, 2023, showed a net income of $41.3 million, down from $51.7 million for the same period in 2022. The diluted earnings per share for the period were $1.29, compared to $1.57 for the same period in 2022.
The condensed consolidated statements of cash flow for the nine months ended September 30, 2023, showed total cash flows provided by operating activities of $852.6 million, up from $624.9 million for the same period in 2022.
