FORM 10-Q
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, DC 20549
QUARTERLY REPORT UNDER SECTION 13 OR 15 (d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the Quarter Ended Commission File Number:
January 31, 1997 0-19133
FIRST CASH, INC.
(Exact name of registrant as specified in its charter)
Delaware 75-2237318
(State of Incorporation) (IRS Employers
Identification Number)
690 East Lamar, Suite 400
Arlington, Texas 76011
(Address of principal (Zip Code)
executive offices)
(817)460-3947
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all
reports required to be filed by Section 13 or 15 (d) of the
Securities Exchange Act of 1934 during the preceding 12 months
(or for such shorter period that the registrant was required to
file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes x No
--- ---
As of March 7, 1997, there were 3,855,012 shares of Company
common stock, par value $.01 per share ("Common Stock"), issued
and outstanding.
Part I. Financial Information
- ------------------------------
Item 1. Financial Statements
- -----------------------------
FIRST CASH, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
January 31, July 31,
1997 1996
---- ----
(unaudited)
(amounts in thousands)
ASSETS
Cash and cash equivalents........................... $ 1,543 $ 680
Service charges receivable.......................... 1,812 1,783
Loans............................................... 12,138 11,701
Inventories......................................... 10,491 8,772
Prepaid expenses and other current assets........... 1,276 869
--------- ---------
Total current assets........................... 27,260 23,805
Property and equipment, net......................... 6,175 5,647
Intangible assets, net.............................. 22,154 21,547
Other............................................... 953 946
--------- ---------
$ 56,542 $ 51,945
========= =========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current portion of long-term debt and notes payable. $ 633 $ 611
Accounts payable and accrued expenses............... 1,992 1,672
Income taxes payable................................ 163 424
--------- ---------
Total current liabilities...................... 2,788 2,707
Revolving credit facility........................... 17,250 14,550
Long-term debt and notes payable, net of
current portion.................................... 2,587 2,477
Debentures Due 1999................................. 7,175 7,500
Debentures Due 2004................................. 2,500 2,500
Deferred income taxes............................... 1,868 1,628
--------- ---------
34,168 31,362
--------- ---------
Stockholders' equity:
Preferred stock; $.01 par value; 10,000,000
shares authorized; no shares issued or
outstanding..................................... - -
Common stock; $.01 par value; 20,000,000 shares
authorized; 4,267,728 and 4,168,459 shares
issued, respectively; 3,796,769 and 3,697,500
shares outstanding, respectively................ 43 42
Additional paid-in capital....................... 18,052 17,611
Retained earnings................................ 6,544 5,195
Common stock held in treasury, at cost,
470,959 shares.................................. (2,265) (2,265)
--------- ---------
22,374 20,583
--------- ---------
$ 56,542 $ 51,945
========= =========
The accompanying notes are an integral
part of these condensed consolidated financial statements.
FIRST CASH, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(unaudited)
Three Months Ended Six Months Ended
January 31, January 31, January 31, January 31,
1997 1996 1997 1996
---- ---- ---- ----
(amounts in thousands, except per share amounts)
Revenues:
Merchandise sales......... $ 9,262 $ 6,794 $ 16,009 $ 12,410
Pawn service charges...... 4,204 3,166 8,266 6,291
Other..................... 71 12 142 31
--------- --------- --------- ---------
13,537 9,972 24,417 18,732
--------- --------- --------- ---------
Cost of goods sold
and expenses:
Cost of goods sold........ 6,423 4,590 11,051 8,362
Operating expenses........ 3,975 3,125 7,585 6,035
Interest expense.......... 637 529 1,201 1,072
Depreciation.............. 180 125 342 265
Amortization.............. 159 137 315 276
Administrative expenses... 971 725 1,843 1,459
--------- --------- --------- ---------
12,345 9,231 22,337 17,469
--------- --------- --------- ---------
Income before income taxes... 1,192 741 2,080 1,263
Provision for income taxes... 396 280 731 489
--------- --------- --------- ---------
Net income................... $ 796 $ 461 $ 1,349 $ 774
========= ========= ========= =========
Primary earnings per share... $ .17 $ .13 $ .29 $ .21
Fully diluted earnings
per share................... $ .14 $ .13 $ .26 $ .21
The accompanying notes are an integral
part of these condensed consolidated financial statements.
FIRST CASH, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited)
Six-Month Period
Ended January 31,
1997 1996
---- ----
(amounts in thousands)
Cash flows from operating activities:
Net income............................ $ 1,349 $ 774
Adjustments to reconcile net income
to net cash flows from operating
activities:
Depreciation and amortization...... 657 541
(Increase) decrease in:
Service charges receivable......... 48 10
Inventories........................ (1,343) (333)
Prepaid expenses and other assets.. (729) (195)
Increase (decrease) in:
Accounts payable and
accrued expenses.................. (76) (69)
Income taxes payable............... (21) 239
--------- ---------
Net cash flows from
operating activities............ (115) 967
--------- ---------
Cash flows from investing activities:
Net decrease in loans................. 34 56
Purchases of property and equipment... (434) (740)
Acquisition of existing stores........ (1,965) (259)
--------- ---------
Net cash flows from
investing activities............ (2,365) (943)
--------- ---------
Cash flows from financing activities:
Proceeds from debt.................... 11,373 6,250
Repayments of debt.................... (8,147) (6,131)
Issuance of stock warrants............ 117 -
--------- ---------
Net cash flows from
financing activities............ 3,343 119
--------- ---------
Increase in cash and cash equivalents...... 863 143
Cash and cash equivalents at beginning
of the period............................. 680 266
--------- ---------
Cash and cash equivalents at
end of the period......................... $ 1,543 $ 409
========= =========
Supplemental disclosure of cash
flow information:
Cash paid during the period for:
Interest............................ $ 1,139 $ 1,068
========= =========
Income taxes........................ $ 765 $ 240
========= =========
The accompanying notes are an integral
part of these condensed consolidated financial statements.
FIRST CASH, INC.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
Note 1 - Basis of Presentation
- ------------------------------
The accompanying unaudited consolidated financial statements, including
the notes thereto, include the accounts of First Cash, Inc. and its wholly
owned subsidiaries, American Loan & Jewelry, Inc. and Famous Pawn, Inc. Such
unaudited consolidated financial statements are condensed and do not include
all disclosures and footnotes required by generally accepted accounting
principles for complete financial statements. Such interim period financial
statements should be read in conjunction with the Company's consolidated
financial statements which are included in the Company's 1996 Annual Report to
Stockholders. All significant intercompany accounts and transactions have
been eliminated in consolidation. The consolidated financial statements as of
January 31, 1997 and for the periods ended January 31, 1997 and 1996 are
unaudited, but in management's opinion, include all adjustments (consisting of
only normal recurring adjustments) considered necessary to present fairly the
financial position, results of operations and cash flows for such interim
periods. Operating results for the period ended January 31, 1997 are not
necessarily indicative of the results that may be expected for the full fiscal
year.
Note 2 - Earnings Per Share
- ---------------------------
Earnings per common share is calculated using the Modified Treasury Stock
Method as required by Accounting Principles Board Opinion No.15 ("APB 15"),
which requires a dual computation. The first computation divides net income
available to common shareholders by the weighted average shares of common
stock outstanding during the period. The second computation requires all
common stock equivalents, whether dilutive or anti-dilutive, be included in an
aggregate computation, however, the number of common shares assumed to be
repurchased into treasury is limited to 20% of the number of common shares
outstanding at the end of the period. The remaining excess proceeds are then
assumed to first retire outstanding debt, and second, to purchase certain
"risk-free" securities. Pursuant to APB 15, if the result of the aggregate
computation is dilutive, when compared to the first computation, its result
must be reported as earnings per share; otherwise, the result of the first
computation is reported. As a result of this computation, the proceeds from
the assumed exercise of common stock equivalents were assumed to be used to
repurchase 20% of the outstanding common shares at the average stock price
during the quarter and the remaining proceeds were used to retire debt and
invest in 5.25% securities. This increased adjusted net income by $258,000
and $523,000, respectively, and increased the share count by 2,633,000 and
2,661,000 shares, respectively, for the three and six months ended January 31,
1997. Thus, the adjusted net income and share count used in computing primary
earnings per share were $1,054,000 and $1,872,000, respectively, and 6,382,000
and 6,386,000 shares, respectively, for the three and six months ended January
31, 1997. For purposes of calculating primary earnings per share, convertible
debentures are not included as they are not considered common stock
equivalents. Fully diluted earnings per share is calculated in a similar
manner except that all convertible debentures are also included in this
computation and the higher of the closing stock price or average stock price
for the quarter is used. Fully diluted earnings per share's adjusted net
income increased $425,000 and $862,000, respectively, and the share count
increased 4,684,000 and 4,737,000 shares, respectively, for the three and six
months ended January 31, 1997. Thus, the adjusted net income and share count
used in computing fully diluted earnings per share were $1,221,000 and
$2,211,000, respectively, and 8,481,000 and 8,495,000 shares, respectively,
for the three and six months ended January 31, 1997. For the three and six
month periods ended January 31, 1996, the result of the Modified Treasury
Stock Method was not dilutive for primary and fully diluted earnings per
share, therefore primary and fully diluted earnings per share were the same
and were based on a weighted average share count of 3,659,000 shares,
respectively.
Note 3 - Revolving Credit Facility
- ----------------------------------
The Company maintains a $20,000,000 long-term line of credit with a major
commercial bank (the "Credit Facility"). The Credit Facility bears interest
at the prevailing LIBOR rate plus one and three-quarters percent, and matures
in December 1998. The Credit Facility allows the Company to borrow funds
based upon 80% of loans and service charges receivable and 60% of inventory of
the Company. As of January 31, 1997, $17,250,000 was drawn under this Credit
Facility and an additional $205,000 was available to the Company pursuant to
the available borrowing base. The Credit Facility requires that interest be
paid monthly with the principal due upon maturity. It is secured by
substantially all of the Company's assets. Under the terms of the Credit
Facility, the Company is required to maintain certain financial ratios and
comply with certain technical covenants. The Company was in compliance with
these requirements and covenants during the first six months of fiscal 1997
and as of March 7, 1997.
Note 4 - Business Acquisitions
- ------------------------------
In September and October 1996, the Company acquired four individual
stores in its Mid-Atlantic division, in December 1996 the Company acquired one
store in the Dallas, Texas area, and in February 1997 the Company acquired one
store in Corpus Christi, Texas. These acquisitions were financed with
proceeds from the Company's Credit Facility and acquisition term notes
provided by the Company's primary lender.
MANAGEMENT'S DISCUSSION AND ANALYSIS
OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
------------------------------------------------
GENERAL
- -------
The Company's revenues are derived primarily from service charges on pawn
loans and the sale of unredeemed goods, or "merchandise sales". Loans are
made for a 30-day term with an automatic extension of 60 days in Texas, 30
days in Oklahoma and 15 days in Maryland. Loans made in Washington, DC are
made for 120 days with no automatic extension. All loans are collateralized
by tangible personal property placed in the custody of the Company. The
annualized service charge rates on the loans are set by state laws and range
between 12% and 240% in Texas and 36% and 240% in Oklahoma, depending on the
amount of the loan. Service charge rates are 144% on an annualized basis in
Maryland, regardless of loan amount. In Washington, DC, loans up to $40 bear
a flat $2 charge per month, while loans over $40 bear a 60% annualized rate.
In its Texas stores, the Company recognizes service charges at the inception
of the loan at the lesser of the statutory amount for the initial 30-day term
or $15, in accordance with state law. In Oklahoma, Maryland and Washington,
DC the Company recognizes service charges at the inception of the loan at the
amount allowed by law for the first 30 days. Pawn service charge income
applicable to the remaining term and/or extension period is not recognized
until the loan is repaid or renewed. If a loan is not repaid prior to the
expiration of the automatic extension period, the property is forfeited to the
Company and held for resale.
As a result of the Company's policy of accruing pawn service charges only
for the initial 30-day term, unredeemed merchandise is transferred to
inventory at a value equal to the loan principal plus one-month's accrued
interest. The Company's accounting policy defers recognition of an amount of
income equal to the amount of pawn service charges relating to the remaining
term and/or extension period until the loan is repaid, renewed, or until the
merchandise is resold. As a result of this policy, the Company's annualized
loan yield is lower than certain of its publicly traded competitors.
Conversely, this revenue recognition policy results in inventory being
recorded at a lower value, which results in realization of a larger gross
profit margin on merchandise sales than would be realized by certain of its
publicly traded competitors, which lessens the risk that the inventory's cost
will exceed its realizable value when sold. However, if the pawn loan is
repaid or renewed, or if the forfeited merchandise is resold, the amount of
income which would be recognized by the Company or certain of its publicly
traded competitors would be the same over time.
Although the Company has had significant increases in revenues due to
acquisitions and store openings, the Company has also incurred increases in
operating expenses attributable to the additional stores and increases in
administrative expenses attributable to establishing a management team and
supporting personnel associated with the Company's growth. Operating expenses
consist of all items directly related to the operation of the Company's
stores, including salaries and related payroll costs, rent, utilities,
equipment depreciation, advertising, property taxes, licenses, supplies and
security. Administrative expenses consist of items relating to the operation
of the corporate office, including the salaries of corporate officers, area
supervisors and other management, accounting and administrative costs,
liability and casualty insurance, outside legal and accounting fees and
stockholder-related expenses.
RESULTS OF OPERATIONS
- ---------------------
Six months ended January 31, 1997 compared to
six months ended January 31, 1996
- ---------------------------------------------
Total revenues increased 30% to $24,417,000 for the six months ended
January 31, 1997 (the "Six-Month 1997 Period") as compared to $18,732,000 for
the six months ended January 31, 1996 (the "Six-Month 1996 Period"). Of the
$5,685,000 increase in total revenues, $2,307,000 relates to the 42 stores
which were in operation throughout both the Six-Month 1996 Period and the Six
Month 1997 Period. The remaining increase of $3,378,000 resulted from
revenues generated by 13 stores which were acquired or opened subsequent to
August 1, 1995. In addition, 63% of the increase in total revenues, or
$3,599,000, was attributable to increased merchandise sales, 35%, or
$1,975,000, was attributable to increased pawn service charges, and the
remaining increase of $111,000 was attributable to the increase in other
income. As a percentage of total revenues, merchandise sales were 66% and
pawn service charges were 34% during both the Six-Month 1997 Period and the
Six-Month 1996 Period.
The aggregate loan balance increased 33% from $9,150,000 at January 31,
1996 to $12,138,000 at January 31, 1997. Of the $2,988,000 increase,
$1,024,000 was attributable to the addition of 11 stores since January 31,
1996. The remaining increase of $1,964,000 was due to the 21% increase in
same-store loan balances at the 44 stores in operation at both January 31,
1996 and January 31, 1997. The annualized yield on the average aggregate loan
balance was 139% during the Six-Month 1997 Period compared to 137% during the
Six-Month 1996 Period. The Company's average loan balance per store increased
from $208,000 as of January 31, 1996 to $221,000 as of January 31, 1997.
The gross profit as a percentage of merchandise sales decreased from 33%
during the Six-Month 1996 Period to 31% during the Six-Month 1997 Period.
This decrease in the Company's gross profit margin on merchandise sales was
primarily the result of significant jewelry scrap sales during the first half
of fiscal 1997 to improve the Company's liquidity and inventory turnover.
Such scrap sales have much smaller profit margins than the Company's regular
retail sales. Without scrap jewelry sales, the Company's gross profit margin
increased from 34% during the Six-Month 1996 Period to 35% during the Six
Month 1997 Period.
Operating expenses increased 26% to $7,585,000 during the Six-Month 1997
Period compared to $6,035,000 during the Six-Month 1996 Period, primarily as a
result of the addition of 13 stores subsequent to August 1, 1995, as well as
overall higher revenues at the Company's existing stores. Administrative
expenses increased 26% to $1,843,000 during the Six-Month 1997 Period compared
to $1,459,000 during the Six-Month 1996 Period. Interest expense increased to
$1,201,000 in the Six-Month 1997 Period compared to $1,072,000 in the Six
Month 1996 Period as a result of the borrowings utilized to fund the Company's
acquisitions.
For the Six-Month 1997 and 1996 Periods, the Company's tax provisions of
35% and 39%, respectively, of income before income taxes differed from the
statutory rate of 34% primarily due to state income taxes, net of the federal
tax benefit.
Three months ended January 31, 1997 compared to the
three months ended January 31, 1996
- ---------------------------------------------------
Total revenues increased 36% to $13,537,000 for the three month period
ended January 31, 1997 ("the Second Quarter of Fiscal 1997") as compared to
$9,972,000 for the three month period ended January 31, 1996 ("the Second
Quarter of Fiscal 1996"). Of the $3,565,000 increase in total revenues,
$1,596,000 relates to the 43 stores which were in operation throughout both
the Second Quarter of Fiscal 1997 and the Second Quarter of Fiscal 1996. The
remaining increase of $1,969,000 resulted from revenues generated by 12 stores
which were opened subsequent to November 1, 1995. In addition, 69% or
$2,468,000 of the increase in total revenues was attributable to increased
merchandise sales, 29% or $1,039,000 was attributable to increased pawn
service charges, and the remaining increase of $58,000 was attributable to the
increase in other income. As a percentage of total revenues, merchandise
sales remained at 68%, and pawn service charges decreased from 32% to 31%,
during the Second Quarter of Fiscal 1997 as compared to the Second Quarter of
Fiscal 1996.
The aggregate loan balance increased 33% from $9,150,000 at January 31,
1996 to $12,138,000 at January 31, 1997. Of the $2,988,000 increase,
$1,024,000 was attributable to the addition of 11 stores since January 31,
1996. The remaining increase of $1,964,000 was due to the 21% increase in
same-store loan balances at the 44 stores in operation at both January 31,
1996 and January 31, 1997. The annualized yield on the average aggregate loan
balance was 139% during the Six-Month 1997 Period compared to 137% during the
Six-Month 1996 Period. The Company's average loan balance per store increased
from $208,000 as of January 31, 1996 to $221,000 as of January 31, 1997.
The gross profit as a percentage of merchandise sales decreased from 32%
during the Second Quarter of Fiscal 1996 to 31% during the Second Quarter of
Fiscal 1997. This decrease in the Company's gross profit margin on merchandise
sales was primarily the result of larger jewelry scrap sales during the first
half of fiscal 1997 to improve the Company's liquidity and inventory turnover.
Such scrap sales have much smaller profit margins than the Company's regular
retail sales. Without scrap jewelry sales, the Company's gross profit margin
increased from 34% during the Second Quarter of Fiscal 1996 to 35% during the
Second Quarter of Fiscal 1997.
Operating expenses increased 27% to $3,975,000 during the Second Quarter
of Fiscal 1997 compared to $3,125,000 during the Second Quarter of Fiscal
1996, primarily as a result of the 12 stores added subsequent to November 1,
1995, and higher overall revenues at the Company's existing stores.
Administrative expenses increased 34% to $971,000 during the Second Quarter of
Fiscal 1997 compared to $725,000 during the Second Quarter of Fiscal 1996.
Interest expense increased to $637,000 in the Second Quarter of Fiscal 1997
compared to $529,000 in the Second Quarter of Fiscal 1996 as a result of
borrowings utilized to fund the Company's acquisitions.
For the Second Quarters of Fiscal 1997 and Fiscal 1996, the Company's tax
provisions of 33% and 38%, respectively, of income before income taxes
differed from the statutory rate of 34% primarily due to state income taxes,
net of the federal tax benefit.
LIQUIDITY AND CAPITAL RESOURCES
- -------------------------------
The Company's operations and acquisitions have been financed with funds
generated from operations, bank borrowings, seller-financed indebtedness, the
private placement of convertible debentures.
The Company maintains a $20,000,000 long-term line of credit with a major
commercial bank (the "Credit Facility"). The Credit Facility bears interest
at the prevailing LIBOR rate plus one and three-quarters percent, and matures
in December 1998. The Credit Facility allows the Company to borrow funds
based upon 80% of loans and service charges receivable and 60% of inventory of
the Company. As of January 31, 1997, $17,250,000 was drawn under this Credit
Facility and an additional $205,000 was available to the Company pursuant to
the available borrowing base. The Credit Facility requires that interest be
paid monthly with the principal due upon maturity. It is secured by
substantially all of the Company's assets. Under the terms of the Credit
Facility, the Company is required to maintain certain financial ratios and
comply with certain technical covenants. The Company was in compliance with
these requirements and covenants during the first six months of Fiscal 1997
and as of March 7, 1997.
In September and October 1996, the Company acquired four individual
stores in its Mid-Atlantic division, in December 1996 the Company acquired one
store in the Dallas, Texas area, and in February 1997 the Company acquired one
store in Corpus Christi, Texas. These acquisitions were financed with
proceeds from the Company's Credit Facility and acquisition term notes
provided by the Company's primary lender.
As of January 31, 1997, the Company's primary sources of liquidity were
$1,543,000 in cash and cash equivalents, $1,812,000 in service charges
receivable, $12,138,000 in loans, $10,491,000 in inventories and $205,000 of
available and unused funds under the Company's Credit Facility. The Company
had working capital as of January 31, 1997 of $24,472,000 and a total
liabilities to equity ratio of 1.53 to 1. During the Six-Month 1997 Period,
the Company received proceeds of $117,000 from the issuance of 29,000 shares
of common stock relating to the exercise of outstanding stock warrants. In
addition, debenture holders converted $325,000 of outstanding subordinated
convertible debentures into 70,269 shares of common stock of the Company.
Net cash used by operating activities for the Company during the Six
Month 1997 Period was $115,000 as compared with net cash provided by operating
activities of $967,000 during the Six-Month 1996 Period. Net cash used for
investing activities during the Six-Month 1997 Period was $2,365,000 as
compared with $943,000 during the Six-Month 1996 Period. Net cash provided by
financing activities of $3,343,000 during the Six-Month 1997 Period relates
primarily to net borrowings under the Company's Credit Facility, as compared
to $119,000 during the Six-Month 1996 Period.
The profitability and liquidity of the Company are affected by the amount
of loans outstanding, which is controlled in part by the Company's loan
decisions. The Company is able to influence the frequency of forfeiture of
collateral by increasing or decreasing the amount loaned in relation to the
resale value of the pledged property. Tighter credit decisions generally
result in smaller loans in relation to the estimated resale value of the
pledged property and can thereby decrease the Company's aggregate loan balance
and, consequently, decrease pawn service charges. Additionally, small loans
in relation to the pledged property's estimated sale value tend to increase
loan redemptions and improve the Company's liquidity. Conversely, providing
larger loans in relation to the estimated sale value of the pledged property
can result in an increase in the Company's pawn service charge income. Also
larger average loan balances can result in an increase in loan forfeitures,
which increases the quantity of goods on hand and, unless the Company
increases inventory turnover, reduces the Company's liquidity. In each of the
Company's last three fiscal years, at least 70% of the amounts loaned were
either paid in full or renewed. The Company's renewal policy allows customers
to renew pawn loans by repaying all accrued interest on such pawn loans. In
addition to these factors, the Company's liquidity is affected by merchandise
sales and the pace of store expansions.
Management believes that the Credit Facility, current assets and cash
generated from operations will be sufficient to accommodate the Company's
current operations for at least the next twelve months. The Company has no
significant capital commitments as of March 7, 1997. The Company currently
has no written commitments for additional borrowings or future acquisitions;
however, the Company intends to continue to grow and will likely seek
additional capital to facilitate expansion. The Company will evaluate
acquisitions, if any, based upon opportunities, acceptable financing, purchase
price, strategic fit and qualified management personnel.
The Company intends to continue to engage in a plan of expansion through
existing store acquisitions and new store openings. While the Company
continually looks for, and is presented with, potential acquisition
candidates, the Company has no definitive plans or commitments for further
acquisitions. If the Company encounters an attractive opportunity to acquire
or open a new store in the near future, the Company will seek additional
financing, the terms of which will be negotiated on a case-by-case basis. In
September and October 1996, the Company acquired four individual stores in its
Mid-Atlantic division, in December 1996 the Company acquired one store in the
Dallas, Texas area, and in February 1997 the Company acquired one store in
Corpus Christi, Texas. These acquisitions were financed with proceeds from
the Company's Credit Facility and acquisition term notes provided by the
Company's primary lender.
FORWARD LOOKING INFORMATION
- ---------------------------
Certain portions of this report contain forward-looking statements,
particularly the portion captioned "Liquidity and Capital Resources". Factors
such as changes in regional or national economic or competitive conditions,
changes in government regulations, changes in regulations governing pawn
service charges, unforeseen litigation, changes in interest rates or tax
rates, future business decisions and other uncertainties may cause results to
differ materially from those anticipated by some of the statements made in
this report. Such factors are difficult to predict and many are beyond the
control of the Company.
PART II. OTHER INFORMATION
- ---------------------------
ITEM 4. Submission of matters to a vote of security holders
- ------------------------------------------------------------
On January 16, 1997, the Company held its annual meeting of stockholders
and its stockholders voted for (or ratified) the following proxy proposals as
a result of a majority of the Company's outstanding capital stock voting in
favor of the proposals. The proposals ratified at the January 16, 1997 annual
stockholders' meeting are as follows:
1. The stockholders ratified the selection of Price Waterhouse LLP as
independent auditors of the Company for the fiscal year ending July
31, 1997.
2. The stockholders re-elected Richard T. Burke, Joe R. Love and Rick
L. Wessel as directors of First Cash, Inc.
ITEM 6. Exhibits and reports on Form 8-K
- -----------------------------------------
27.0 Financial Data Schedules
SIGNATURES
----------
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
Dated: March 7, 1997 FIRST CASH, INC.
----------------
(Registrant)
Phillip E. Powell Rick L. Wessel
- ----------------- --------------
Phillip E. Powell Rick L. Wessel
Chairman of the Board and Chief Accounting Officer
Chief Executive Officer
5
1,000
6-MOS
JUL-31-1997
JAN-31-1997
1543
0
13950
0
10491
27260
8574
2399
56542
2788
0
0
0
43
22331
56542
16009
24417
11051
11051
10085
0
1201
2080
731
1349
0
0
0
1349
.29
.26
