QC Holdings, Inc.

CIK:0001289505|SEC Filings

Consolidated Statements of Operations (Unaudited) - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Revenues
Consumer loan interest and fees	$ 32,220	$ 36,868	$ 94,173	$ 106,229
Other	2,259	2,510	6,809	7,630
Total revenues	34,479	39,378	100,982	113,859
Operating expenses
Salaries and benefits	8,131	8,616	23,798	24,680
Provision for losses	10,525	12,565	29,207	32,655
Occupancy	4,693	4,525	13,686	13,442
Depreciation and amortization	340	437	1,141	1,370
Other	4,027	3,861	11,298	10,777
Total operating expenses	27,716	30,004	79,130	82,924
Gross profit	6,763	9,374	21,852	30,935
Regional expenses	2,003	1,993	6,061	6,420
Corporate expenses	5,784	4,407	15,160	14,095
Depreciation and amortization	178	502	557	1,455
Interest expense	223	364	659	1,106
Other expense, net	418	1,628	875	1,687
Income (loss) from continuing operations before income taxes	(1,843)	480	(1,460)	6,172
Provision (benefit) for income taxes	(350)	155	(72)	2,450
Income (loss) from continuing operations	(1,493)	325	(1,388)	3,722
Gain (loss) from discontinued operations, net of income tax		(99)		143
Net income (loss)	$ (1,493)	$ 226	$ (1,388)	$ 3,865
Weighted average number of common shares outstanding:
Basic	17,333	17,511	17,360	17,486
Diluted	17,333	17,568	17,360	17,492
Basic
Continuing operations	$ (0.09)	$ 0.02	$ (0.08)	$ 0.21
Discontinued operations		(0.01)		0.01
Net income (loss)	(0.09)	0.01	(0.08)	0.22
Diluted
Continuing operations	(0.09)	0.02	(0.08)	0.21
Discontinued operations		(0.01)		0.01
Net income (loss)	$ (0.09)	$ 0.01	$ (0.08)	$ 0.22

Consolidated Statements of Cash Flows (Unaudited) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities
Net income (loss)	$ (1,388)	$ 3,865
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization	1,698	2,826
Provision for losses	29,207	32,729
Deferred income taxes	(47)	99
Non-cash interest expense	201	414
Loss from foreign currency transaction	787	333
Loss (gain) on cash surrender value of life insurance	231	(73)
Loss on disposal of property and equipment	94	1,270
Stock-based compensation	44	457
Changes in operating assets and liabilities
Loans, interest and fees receivable, net	(21,525)	(28,421)
Prepaid expenses and other current assets	450	330
Other assets	26	30
Accounts payable	100	(280)
Accrued expenses, other liabilities, accrued compensation and benefits and deferred revenue	638	(736)
Income taxes	(698)	33
Other non-current liabilities	(672)	115
Net operating	9,146	12,991
Cash flows from investing activities
Purchase of property and equipment	(928)	(1,975)
Proceeds from sale of property and equipment	1,187	15
Changes in restricted cash and other		126
Net investing	259	(1,834)
Cash flows from financing activities
Borrowings under credit facility	7,500	11,250
Payments on credit facility	(16,500)	(18,300)
Repayments of long-term debt		(4,500)
Payments for debt issue costs		(306)
Dividends to stockholders	(1,304)
Repurchase of common stock	(181)	(174)
Net financing	(10,485)	(12,030)
Effect of exchange rate changes on cash and cash equivalents	(317)	(95)
Cash and cash equivalents
Net decrease	(1,397)	(968)
At beginning of year	14,220	12,685
At end of period	12,823	11,717
Cash paid during the period for
Interest	391	669
Income taxes	$ 677	$ 2,395

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash and cash equivalents	$ 12,823	$ 14,220
Restricted cash and other	950	950
Loans receivable, less allowance for losses of $6,794 at December 31, 2014 and $6,436 at September 30, 2015	49,802	55,744
Deferred income taxes	1,294	824
Assets held for sale	934	2,110
Prepaid expenses and other current assets	4,035	3,894
Total current assets	69,838	77,742
Non-current loans receivable, less allowance for losses of $2,133 at December 31, 2014 and $1,807 at September 30, 2015	3,684	5,603
Property and equipment, net	4,099	5,013
Intangible assets, net	656	835
Deferred income taxes	7,262	7,751
Other assets, net	4,299	4,555
Total assets	89,838	101,499
Current liabilities:
Accounts payable	739	638
Accrued expenses and other current liabilities	3,334	2,562
Accrued compensation and benefits	4,337	4,130
Deferred revenue	2,511	2,917
Debt due within one year	6,518	12,000
Total current liabilities	17,439	22,247
Long-term debt		3,415
Other non-current liabilities	4,747	5,482
Total liabilities	$ 22,186	$ 31,144
Commitments and contingencies
Stockholders' equity:
Common stock, $0.01 par value: 75,000,000 shares authorized; 20,700,250 shares issued and 17,314,791 outstanding at December 31, 2014; 20,700,250 shares issued and 17,333,033 outstanding at September 30, 2015	$ 207	$ 207
Additional paid-in capital	60,700	61,561
Retained earnings	32,213	34,905
Treasury stock, at cost	(25,550)	(26,276)
Accumulated other comprehensive income (loss)	82	(42)
Total stockholders' equity	67,652	70,355
Total liabilities and stockholders' equity	$ 89,838	$ 101,499