Atlanticus Holdings Corporation reported strong financial results for the third quarter ended September 30, 2024, on November 7, 2024. Total operating revenue increased by 19.0% year-over-year to $351.0 million. Net income attributable to common shareholders rose by 22.9% to $23.2 million, resulting in diluted earnings per share of $1.27.
Managed receivables grew by 14.6% to $2.7 billion, representing over $338.9 million in net receivables growth from September 30, 2023. This expansion was driven by growth in both private label credit and general purpose credit card products. The company also increased its total accounts served by 5.9% to 3.7 million.
Interest expense for the quarter was $42.5 million, up from $28.3 million in the prior year, primarily due to increased outstanding debt and higher borrowing costs. Outstanding notes payable reached $1,976.8 million as of September 30, 2024. Atlanticus repurchased 11,193 shares of its common stock at an aggregate cost of $0.3 million during the quarter.
Looking ahead, Atlanticus expects continued net period-over-period growth in total interest income and related fees for 2024. The company anticipates additional debt financing and higher effective interest rates in the coming quarters. Management also projects some continued increases in servicing costs and salaries and benefits for the remainder of 2024.
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