NYSE$OPFI

Oppfi Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

OppFi's financial performance rebounded significantly in Q2 2021, driven by economic recovery and strong credit quality.

OppFi reported strong Q2 2021 results with significant growth in net originations and ending receivables. The company's profitability remained strong, driven by improved credit quality and operating efficiency. OppFi also made progress on its growth strategies, including new products and partnerships.

  • Net originations increased by 84% year-over-year and 44% sequentially.
  • Ending receivables grew by 19% year-over-year.
  • Revenue increased by 28% compared to Q2 2020.
  • Auto approval rate improved from 41% in Q1 to 51% in Q2.

Headline financials

Total Revenue

$78.4M

No prior period
EPS (adj)

-$1.48

No prior period
Auto-approval rate

51.0%

No prior period
Net charge-offs vs revenue

28.0%

No prior period
Net Income

$18M

No prior period
Cash & Equivalents

$121M

No prior period
Total Assets

$437M

No prior period

Revenue & EPS history

OppFi · Revenue · Quarterly

$78.4M

Q2 2021
Beat estimate in 12 of 15 quarters(80%)
ActualEstimate

Forward guidance

OppFi expects revenue between $350 and $360 million, adjusted EBITDA between $120 and $125 million, and adjusted net income between $62 and $66 million for the full year 2021.

Tailwinds

  • Ending receivables of approximately $380-400 million, approaching 50% growth over Q2 ending levels.
  • Origination levels returning to pre-COVID levels by year-end.
  • Potential upside to guidance should the realized impact of exogenous factors be less pronounced than currently assumed.
  • Launch of OppFi Card to select customers.
  • Agreements signed for SalaryTap with Brightside and Best Money Moves.

Headwinds

  • Reduced consumer demand due to the current surge in the COVID Delta variant.
  • Expected continuation of government stimulus programs that began in the second half of July.
  • Original outlook for 2021 did not contemplate any 2021 government stimulus.
  • Timing delays in demand due to exogenous factors.
  • Uncertainty regarding the return of normalized demand due to the surge in COVID's Delta variant and extension of government stimulus programs.

Historical earnings impact

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

Avg. return before/after earnings

Based on 19 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+3.0%

Avg return

Earnings day

+2.2%

Avg return

5 days after

+7.0%

Avg return

30 days after

63%

12 / 19 earnings

Positive

+20.6%

Q3 2024

Best reaction

-19.9%

Q4 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.9%-4.7%-14.8%
Q4 2025-5.9%-9.9%-10.9%
Q3 2025+4.1%+0.6%-0.9%
Q1 2025+11.6%+25.4%+46.2%
Q4 2024+10.8%-3.2%-11.6%
Q3 2024+20.6%+32.0%+34.8%
Q2 2024+17.0%+36.0%+20.1%
Q1 2024+14.1%+13.3%+19.3%
Q4 2023-19.9%-29.6%-33.4%
Q3 2023+0.4%+5.7%+58.1%
Q2 2023+6.0%+17.4%+21.6%
Q1 2023+5.0%+2.5%+13.4%
Q4 2022+10.9%+13.2%+13.8%
Q3 2022-9.8%+5.1%+14.0%
Q2 2022+0.0%-19.9%-28.6%
Q1 2022-4.5%-19.6%-6.5%
Q4 2021-5.3%+5.3%+5.3%
Q3 2021+3.3%-10.8%-30.0%
Q2 2021-2.2%-16.7%+22.5%

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