Regional Management (NYSE:RM) Releases Earnings Results

Regional Management (NYSE:RM) posted its quarterly earnings results on Wednesday. The credit services provider reported $1.30 earnings per share for the quarter, topping analysts’ consensus estimates of $1.23 by $0.07, Zacks reports. Regional Management had a net margin of 6.57% and a return on equity of 11.43%. The firm had revenue of ($165.49) million for the quarter, compared to the consensus estimate of $167.90 million.

Here are the key takeaways from Regional Management’s conference call:

• Delivered strong results and guidance: Q4 net income $12.9M ($1.30 EPS) (up 33% YoY), full‑year net income $44.4M, and management expects 2026 net income growth of 20–25% with at least 10% ENR growth.
• Portfolio momentum: ending net receivables rose 13% to $2.1B, record Q4 originations of $537M, and the auto‑secured portfolio grew 42% YoY and is a prioritized growth opportunity.
• Improving credit profile: 30+ delinquency improved 20 bps YoY to 7.5% and full‑year net credit losses improved ~70 bps, with a long‑term NCL target under 10%.
• Near‑term seasonality risk: management expects typical Q1 credit seasonality (a sequential NCL increase of roughly 150 bps annualized) and possible ENR contraction from elevated tax refunds, which could pressure early‑2026 results.
• Strategic initiatives underway: new CEO is investing in people, digital/AI, branch expansion and a bank partnership capability that could accelerate market entry and broaden products but remains in development and carries execution uncertainty.

Regional Management Trading Down 15.3%

Shares of NYSE:RM traded down $6.17 during trading on Thursday, hitting $34.18. 124,196 shares of the company’s stock traded hands, compared to its average volume of 53,196. The company has a 50-day moving average price of $38.41 and a 200-day moving average price of $38.70. Regional Management has a 52 week low of $25.41 and a 52 week high of $46.00. The company has a market cap of $331.89 million, a price-to-earnings ratio of 8.28 and a beta of 1.06.

Regional Management Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, March 12th. Stockholders of record on Thursday, February 19th will be given a dividend of $0.30 per share. The ex-dividend date of this dividend is Thursday, February 19th. This represents a $1.20 dividend on an annualized basis and a dividend yield of 3.5%. Regional Management’s dividend payout ratio (DPR) is currently 29.06%.

Insider Buying and Selling

In related news, major shareholder Fund L.P. Forager sold 21,561 shares of the stock in a transaction dated Friday, January 9th. The stock was sold at an average price of $38.96, for a total transaction of $840,016.56. Following the completion of the transaction, the insider directly owned 1,020,572 shares in the company, valued at approximately $39,761,485.12. This trade represents a 2.07% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Michael R. Dunn sold 5,580 shares of the business’s stock in a transaction on Wednesday, December 3rd. The stock was sold at an average price of $37.46, for a total transaction of $209,026.80. Following the completion of the sale, the director directly owned 103,109 shares in the company, valued at approximately $3,862,463.14. This represents a 5.13% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders sold 77,475 shares of company stock valued at $3,006,040. Company insiders own 10.80% of the company’s stock.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently modified their holdings of RM. Wexford Capital LP bought a new position in Regional Management during the third quarter worth $32,000. Advisory Services Network LLC acquired a new position in shares of Regional Management during the 3rd quarter worth approximately $39,000. BNP Paribas Financial Markets increased its holdings in shares of Regional Management by 45.3% during the third quarter. BNP Paribas Financial Markets now owns 2,077 shares of the credit services provider’s stock worth $81,000 after purchasing an additional 648 shares during the period. Russell Investments Group Ltd. boosted its stake in shares of Regional Management by 45.4% in the third quarter. Russell Investments Group Ltd. now owns 3,526 shares of the credit services provider’s stock valued at $137,000 after buying an additional 1,101 shares during the period. Finally, JPMorgan Chase & Co. grew its position in Regional Management by 9.7% during the second quarter. JPMorgan Chase & Co. now owns 4,824 shares of the credit services provider’s stock worth $141,000 after buying an additional 425 shares in the last quarter. Institutional investors own 98.89% of the company’s stock.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on RM. Wall Street Zen raised Regional Management from a “buy” rating to a “strong-buy” rating in a report on Saturday, January 3rd. Zacks Research upgraded shares of Regional Management from a “strong sell” rating to a “hold” rating in a research report on Monday, January 5th. Finally, Weiss Ratings reaffirmed a “hold (c+)” rating on shares of Regional Management in a research note on Monday, December 29th. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat, the company has an average rating of “Hold” and an average price target of $30.00.

Trending Headlines about Regional Management

Here are the key news stories impacting Regional Management this week:

• Positive Sentiment: Q4 earnings beat — RM reported $1.30 EPS vs. $1.23 expected and said net income was up ~30% year-over-year, signaling solid profitability and portfolio momentum. Q4 Press Release
• Positive Sentiment: Dividend declared — RM announced a $0.30 quarterly dividend (3.4% yield) with an ex-dividend date of Feb 19, supporting income-oriented investors and reducing downside risk from yield-seeking flows.
• Positive Sentiment: Technical bullish signal — some coverage notes RM’s share price crossed above its 200-day moving average recently, which can attract momentum buyers. Moving Average Note
• Neutral Sentiment: Earnings call / transcripts and slide deck available — management highlighted portfolio growth and operational momentum; read the call highlights and full transcript for detail on drivers and any guidance. Earnings Highlights Call Transcript
• Negative Sentiment: Revenue slightly missed expectations — Q4 revenue was ~$165.5M vs. ~$167.9M expected, which may worry short-term traders focused on top-line trends despite the EPS beat. Earnings Summary
• Negative Sentiment: Technical/price pressure — RM’s share price is trading below its 50- and 200-day moving averages and has seen a sharp pullback today, which can trigger stop-selling and short-term downside even when fundamentals are improving.

About Regional Management

Regional Management Corp., headquartered in Wilmington, North Carolina, is a consumer finance company specializing in installment loan products for underbanked individuals. Since its founding in 1977, the company has developed a network of field-based branches alongside a digital platform to offer credit solutions in rural and small-town markets across the United States.

The company’s core offerings include consumer installment loans for everyday purchases, auto refinancing and lease buyouts, as well as ancillary services such as insurance referrals.