The EPS beat and record revenue are positive, but credit quality deterioration (NCL rate up 70 bps YoY, delinquency up 50 bps YoY) tempers the outlook. The CRO transition adds execution risk. Monitor Q4 guidance for credit trends and the bank partnership's margin contribution.
Price Chart
Executive Summary
Regional Management Corp. reported Q3 2026 net income of $15.1M and diluted EPS of $1.61, up 13.4% YoY, on record revenue of $178.8M (+8.0% YoY). EPS beat the $1.50 consensus by 7.3%. The company also announced the termination of EVP and Chief Credit Risk Officer Manish Parmar without cause and the appointment of Elizabeth Canini as his replacement, effective November 2, 2026. The Board declared a $0.30 quarterly dividend.
Key Financial Metrics
Key Facts
- Net income of $15.1M and diluted EPS of $1.61, up 13.4% YoY
- Record total revenue of $178.8M, up 8.0% YoY
- EPS of $1.61 beat consensus estimate of $1.50 by 7.3%
- Net finance receivables of $2.2B, up 7.6% YoY
- Net credit loss rate of 10.9%, up 70 bps YoY but down 130 bps sequentially
- 30+ day delinquency rate of 7.5%, up 50 bps both sequentially and YoY
- Operating expense ratio improved 20 bps YoY to 12.6%
- Quarterly dividend of $0.30 per share declared
- EVP and Chief Credit Risk Officer Manish Parmar terminated without cause
- Elizabeth Canini appointed as new Chief Credit Risk Officer, effective November 2, 2026
Financial Impact
EPS beat consensus by $0.11 (7.3%), revenue beat by $4.1M (2.3%). Net income grew $0.8M YoY. Credit quality metrics deteriorated YoY.
Segment Breakdown
| Segment | Growth |
|---|---|
| Large loans | +15.2% |
| Small loans | -13.5% |
Risk Factors
- Net credit loss rate increased 70 bps YoY to 10.9%, with management citing 2025 vintages and digital affiliate channel as drivers
- 30+ day delinquency rate increased 50 bps both sequentially and YoY to 7.5%
- CRO transition creates near-term execution risk in credit management
- Interest and fee yield declined 100 bps YoY due to product mix shift
Market Snapshot
Investment Themes
Documents Analyzed
This report is based on 4 SEC documents filed with EDGAR.
| Document | Accession Number |
|---|---|
| 8-K Filing (Primary) | 0001519401-26-000019 |
| Document: 0001519401-26-000019-index.html | 0001519401-26-000019 |
| Document: 0001519401-26-000019.txt | 0001519401-26-000019 |
| 8-K Data (Synthetic) | 0001519401-26-000019 |
Filters
| Type | Now | ||||
|---|---|---|---|---|---|
Oct 28, 2026 2d ago | 8-K | $36.26 | awaiting T+20 | awaiting T+20 | $36.30 (+0.11%) |
Sep 16, 2026 6w ago | 8-K | $32.10 $34.47 | ▲ +7.38% | ▲ +5.93% | $36.30 (+13.08%) |
Aug 13, 2026 11w ago | Insider Buy | $33.50 $32.90 | ▼ −1.79% | ▲ +0.20% | $36.30 (+8.36%) |
May 19, 2026 23w ago | 8-K | $34.96 $37.20 | ▲ +6.41% | ▲ +5.67% | $36.30 (+3.83%) |
Apr 15, 2026 28w ago | Insider Cluster | $38.22 $34.25 | ▲ +10.39% | ▲ +16.43% | $36.30 (+5.02%) |
Apr 15, 2026 28w ago | Insider Cluster | $38.22 $34.25 | ▲ +10.39% | ▲ +16.43% | $36.30 (+5.02%) |
Apr 15, 2026 28w ago | Insider Cluster | $38.22 $34.25 | ▲ +10.39% | ▲ +16.43% | $36.30 (+5.02%) |
Apr 15, 2026 28w ago | Insider Cluster | $38.22 $34.25 | ▲ +10.39% | ▲ +16.43% | $36.30 (+5.02%) |
Mar 5, 2026 34w ago | 8-K | $32.24 $34.23 | ▲ +6.17% | ▲ +8.22% | $36.30 (+12.59%) |
US Market Status
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