NASDAQ$CACC

Credit Acceptance · Q2 2022 earnings

Q2 2022 earnings · · Investor relations

Briefing

Reported consolidated net income and growth in consumer loan assignment volume.

Credit Acceptance Corporation reported a consolidated net income of $107.4 million, or $7.94 per diluted share, for the three months ended June 30, 2022, compared to $288.6 million, or $17.18 per diluted share, for the same period in 2021. Consumer Loan assignment volume increased, with unit and dollar volumes growing 5.1% and 22.0%, respectively, compared to the second quarter of 2021.

  • Forecasted collection rates decreased for Consumer Loans assigned in 2020 through 2022, reducing forecasted net cash flows by $43.4 million.
  • Forecasted profitability per Consumer Loan assignment significantly exceeded initial estimates for Consumer Loans assigned in 2018 through 2021.
  • Consumer Loan assignment volume grew, with unit and dollar volumes increasing by 5.1% and 22.0%, respectively, compared to Q2 2021.
  • The company repurchased approximately 404,000 shares, representing 3.0% of the shares outstanding at the beginning of the quarter.

Headline financials

Total Revenue

$457M

Previous: $472M-3.0%
EPS (adj)

$13.92

Previous: $13.71+1.5%
Consumer Loan unit volume

73.3K

Previous: 69.8K+5.1%
Active dealers

8.5K

Previous: 8.3K+1.9%
Average volume per active dealer

8.6

Previous: 8.4+2.4%
Capital Expenditures

-$1M

Previous: -$3.1M+67.7%
Free Cash Flow

$106M

Previous: $286M-62.7%
Net Income

$107M

Previous: $289M-62.8%
Operating Income

$394M

Previous: $429M-8.3%
Gross Profit

$445M

Previous: $461M-3.5%
Cash & Equivalents

$4.1M

Previous: $384M-98.9%
Total Assets

$6.98B

Previous: $7.8B-10.5%
Stock-Based Comp

$9.1M

Previous: $11.5M-20.9%

Revenue & EPS history

Credit Acceptance · Revenue · Quarterly

$457M

Q2 2022-3%vs Q2 2021
Beat estimate in 9 of 14 quarters(64%)
ActualEstimate

Revenue by segment

Credit Acceptance · $457M total across 3 segments · Q2 2022

  • Finance charges
    $426M-4.4%
  • Other income
    $16.4M+56.2%
  • Premiums earned
    $15.4M-2.5%

Forward guidance

We claim the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 for all of our forward-looking statements.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2022

Historical avgQ2 2022

-0.3%

Avg return

Earnings day

+1.0%

Avg return

5 days after

+1.6%

Avg return

30 days after

40%

26 / 65 earnings

Positive

+21.3%

Q1 2022

Best reaction

-15.8%

Q2 2024

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+1.0%-0.7%+3.5%
Q4 2025+10.6%+12.4%+4.9%
Q3 2025+0.9%-0.2%+2.1%
Q1 2025-4.0%+2.0%-2.1%
Q4 2024-1.2%+1.0%-4.2%
Q3 2024-6.1%-6.4%+10.0%
Q2 2024-15.8%-18.4%-19.7%
Q1 2024-6.9%-4.3%-7.9%
Q4 2023+4.9%+1.9%-0.4%
Q3 2023-0.5%+9.6%+11.4%
Q2 2023-13.1%-10.5%-9.9%
Q1 2023-12.1%-8.0%-9.0%
Q4 2022+17.2%+17.6%+0.0%
Q3 2022-6.1%-4.9%+1.9%
Q2 2022-8.2%-5.5%-7.6%
Q1 2022+21.3%+17.0%+13.9%
Q4 2021-0.9%-1.9%+4.5%
Q3 2021+12.1%+14.7%+4.5%
Q2 2021+2.6%+14.5%+22.5%
Q1 2021+0.4%+6.3%+13.8%
Q4 2020-14.1%-10.1%-2.8%
Q3 2020-4.9%-3.7%-4.4%
Q2 2020-2.4%-0.9%-4.2%
Q1 2020+4.1%+11.5%+16.5%
Q4 2019-7.1%-6.3%-12.6%
Q3 2019-6.0%-3.2%-1.7%
Q2 2019-2.1%-4.5%-5.9%
Q1 2019-1.0%-0.7%-6.9%
Q4 2018-2.6%+4.4%+9.3%
Q3 2018+8.4%+6.8%+3.9%
Q2 2018+13.7%+18.7%+20.0%
Q1 2018-2.1%-0.6%+8.1%
Q4 2017-11.5%-14.4%-14.6%
Q3 2017-4.1%-6.1%+1.7%
Q2 2017+9.1%+9.1%+8.9%
Q1 2017+7.9%+6.1%+5.8%
Q4 2016-5.5%-1.7%-1.4%
Q3 2016-11.4%-9.2%+3.8%
Q2 2016+5.0%+6.1%+8.0%
Q1 2016-5.8%
Q4 2015-3.4%
Q3 2015-13.1%
Q2 2015+9.8%
Q1 2015+9.9%
Q4 2014+13.4%
Q3 2014+6.3%
Q2 2014-3.6%
Q1 2014-6.9%
Q4 2013+8.1%
Q3 2013-0.7%
Q2 2013+0.4%
Q1 2013-2.2%
Q4 2009-7.5%
Q4 2012+3.5%
Q3 2012-0.1%
Q2 2012+4.2%
Q1 2011-7.3%
Q1 2012-0.5%
Q4 2011+0.0%
Q3 2011+5.6%
Q3 2010+5.6%
Q2 2011-0.7%
Q4 2010-0.7%
Q2 2010-0.7%
Q1 2010-0.1%

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