Inflation-squeezed borrowers pushed pawn receivables to a record $908 million, and that demand carried FirstCash past both EPS and revenue consensus. The AFF lending arm is the soft spot, with gross transaction volume down and management guiding to another mid-teens decline in Q4. Management also raised the quarterly dividend 10%.
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FirstCash has beaten EPS estimates 27 quarters running, and that streak gets tested at 6:00 AM ET today against a $2.63 consensus on $1.07B in revenue. Pawn demand and gold prices make this one of the cleanest reads on the subprime consumer heading into year end.
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