Medallion Financial Earnings Call Transcript

Motley Fool Transcribing, The Motley Fool

Thu, February 19, 2026 astatine 9:46 AM CST 25 min read

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Thursday, February 19, 2026 astatine 9:00 a.m. ET

• Chief Executive Officer — Andrew Murstein

• Chief Financial Officer — Anthony N. Cutrone

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Andrew. Thank you, and bully morning, everyone. 2025 marked a grounds twelvemonth for Medallion Financial Corp., with coagulated show crossed our halfway fiscal metrics and operating segments. As compared to the 4th fourth and afloat twelvemonth 2024, we reported increases successful nett involvement income, nett income, originations, and portfolio size, reflecting the spot of our level and accordant execution crossed our concern line. Loan request remained healthy, recognition show was solid, and our results

Andrew Murstein: show our quality to proceed scaling the concern profitably portion maintaining discipline. Across the portfolio, we proceed to execute efficaciously with meaningful contributions from our recreation, location improvement, and commercialized lending line. Total loans reached $2,567,000,000 and full originations came successful astatine $421,000,000 for the 4th fourth and $1,500,000,000 for the afloat year, increases from some the aforesaid 4th past twelvemonth and twelvemonth implicit year. These results bespeak a focused operating attack and our ongoing committedness to prudent maturation crossed the platform, which I volition present locomotion done successful further detail.

I volition commencement with user lending, our largest and astir profitable concern line, which continues to anchor our show with involvement income of $74,500,000 for the 4th and $289,900,000 for the year, increasing 5% arsenic compared to the aforesaid play of past twelvemonth and 8% twelvemonth implicit year. Within the user lending segments, nonstop indebtedness publication grew 5% to $1,600,000,000 astatine 12/31/2025, representing 63% of our full loans. Originations for the 4th grew to $97,200,000 compared to $72,200,000 a twelvemonth ago, and involvement income roseate 6% to $54,200,000.

Delinquencies of 90-plus days were conscionable 0.82% of gross recreational loans and the allowance for recognition losses is 5.32% to bespeak expected seasonal and economical dynamics arsenic compared to 5% a twelvemonth ago. The location betterment indebtedness publication stood astatine $810,200,000 astatine 12/31/2025, representing 32% of our full loans. Originations for the 4th were $61,700,000 versus $82,500,000 past year. Delinquencies of 90-plus days were conscionable 0.16% of gross location betterment loans, and the allowance for recognition losses was 2.41% compared to 2.48% a twelvemonth ago. Importantly, we are originating loans to individuals successful these niches that person beardown recognition prime with mean FICOs connected caller originations present 688 for recreational and 779 for location improvement.