fcfs-20210930
000084048912/312021Q3FALSEP3YP3Y00008404892021-01-012021-09-30xbrli:shares00008404892021-10-19iso4217:USD00008404892021-09-3000008404892020-09-3000008404892020-12-3100008404892021-07-012021-09-3000008404892020-07-012020-09-3000008404892020-01-012020-09-30iso4217:USDxbrli:shares0000840489us-gaap:CommonStockMember2020-12-310000840489us-gaap:AdditionalPaidInCapitalMember2020-12-310000840489us-gaap:RetainedEarningsMember2020-12-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-12-310000840489us-gaap:TreasuryStockMember2020-12-3100008404892021-04-012021-06-300000840489us-gaap:AdditionalPaidInCapitalMember2021-01-012021-03-310000840489us-gaap:TreasuryStockMember2021-01-012021-03-3100008404892021-01-012021-03-310000840489us-gaap:RetainedEarningsMember2021-01-012021-03-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-01-012021-03-310000840489us-gaap:CommonStockMember2021-03-310000840489us-gaap:AdditionalPaidInCapitalMember2021-03-310000840489us-gaap:RetainedEarningsMember2021-03-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-03-310000840489us-gaap:TreasuryStockMember2021-03-3100008404892021-03-310000840489us-gaap:AdditionalPaidInCapitalMember2021-04-012021-06-300000840489us-gaap:RetainedEarningsMember2021-04-012021-06-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-04-012021-06-300000840489us-gaap:TreasuryStockMember2021-04-012021-06-300000840489us-gaap:CommonStockMember2021-06-300000840489us-gaap:AdditionalPaidInCapitalMember2021-06-300000840489us-gaap:RetainedEarningsMember2021-06-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-06-300000840489us-gaap:TreasuryStockMember2021-06-3000008404892021-06-300000840489us-gaap:AdditionalPaidInCapitalMember2021-07-012021-09-300000840489us-gaap:TreasuryStockMember2021-07-012021-09-300000840489us-gaap:RetainedEarningsMember2021-07-012021-09-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-07-012021-09-300000840489us-gaap:CommonStockMember2021-09-300000840489us-gaap:AdditionalPaidInCapitalMember2021-09-300000840489us-gaap:RetainedEarningsMember2021-09-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2021-09-300000840489us-gaap:TreasuryStockMember2021-09-300000840489us-gaap:CommonStockMember2019-12-310000840489us-gaap:AdditionalPaidInCapitalMember2019-12-310000840489us-gaap:RetainedEarningsMember2019-12-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2019-12-310000840489us-gaap:TreasuryStockMember2019-12-3100008404892019-12-3100008404892020-04-012020-06-300000840489us-gaap:AdditionalPaidInCapitalMember2020-01-012020-03-310000840489us-gaap:TreasuryStockMember2020-01-012020-03-3100008404892020-01-012020-03-310000840489us-gaap:RetainedEarningsMember2020-01-012020-03-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-01-012020-03-310000840489us-gaap:CommonStockMember2020-03-310000840489us-gaap:AdditionalPaidInCapitalMember2020-03-310000840489us-gaap:RetainedEarningsMember2020-03-310000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-03-310000840489us-gaap:TreasuryStockMember2020-03-3100008404892020-03-310000840489us-gaap:AdditionalPaidInCapitalMember2020-04-012020-06-300000840489us-gaap:RetainedEarningsMember2020-04-012020-06-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-04-012020-06-300000840489us-gaap:CommonStockMember2020-06-300000840489us-gaap:AdditionalPaidInCapitalMember2020-06-300000840489us-gaap:RetainedEarningsMember2020-06-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-06-300000840489us-gaap:TreasuryStockMember2020-06-3000008404892020-06-300000840489us-gaap:RetainedEarningsMember2020-07-012020-09-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-07-012020-09-300000840489us-gaap:CommonStockMember2020-09-300000840489us-gaap:AdditionalPaidInCapitalMember2020-09-300000840489us-gaap:RetainedEarningsMember2020-09-300000840489us-gaap:AccumulatedOtherComprehensiveIncomeMember2020-09-300000840489us-gaap:TreasuryStockMember2020-09-30fcfs:store0000840489country:US2021-09-300000840489country:US2021-01-012021-09-300000840489us-gaap:SeriesOfIndividuallyImmaterialBusinessAcquisitionsMember2021-09-300000840489srt:MinimumMember2021-09-300000840489srt:MaximumMember2021-09-30xbrli:pure0000840489us-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2021-09-300000840489us-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2020-09-300000840489us-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2020-12-310000840489us-gaap:SeniorNotesMemberfcfs:A4625SeniorUnsecuredNotesDue2028Member2021-09-300000840489us-gaap:SeniorNotesMemberfcfs:A4625SeniorUnsecuredNotesDue2028Member2020-09-300000840489us-gaap:SeniorNotesMemberfcfs:A4625SeniorUnsecuredNotesDue2028Member2020-12-310000840489us-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2021-01-012021-09-300000840489us-gaap:PrimeRateMemberus-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2021-01-012021-09-300000840489srt:MinimumMemberus-gaap:LondonInterbankOfferedRateLIBORMemberus-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2021-09-300000840489us-gaap:LineOfCreditMemberfcfs:RevolvingUnsecuredCreditFacilitydue2024Member2021-01-012021-09-30iso4217:MXN0000840489fcfs:RevolvingUnsecuredUncommittedCreditFacilitydue2023Memberus-gaap:LineOfCreditMember2021-09-300000840489fcfs:MexicanCentralBankInterbankEquilibriumRateTIIEMemberfcfs:RevolvingUnsecuredUncommittedCreditFacilitydue2023Memberus-gaap:LineOfCreditMember2021-01-012021-09-300000840489us-gaap:SeniorNotesMemberfcfs:A4625SeniorUnsecuredNotesDue2028Member2020-08-260000840489us-gaap:SeniorNotesMemberfcfs:A5.375SeniorUnsecuredNotesdue2024Member2017-05-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMember2021-09-300000840489us-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberfcfs:PawnLoansMember2021-09-300000840489fcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel1Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel2Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel3Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:LineOfCreditMember2021-09-300000840489us-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel3Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:SeniorNotesMemberus-gaap:CarryingReportedAmountFairValueDisclosureMember2021-09-300000840489us-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:SeniorNotesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2021-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMember2020-09-300000840489us-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberfcfs:PawnLoansMember2020-09-300000840489fcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel1Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel2Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel3Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:LineOfCreditMember2020-09-300000840489us-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel3Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:SeniorNotesMemberus-gaap:CarryingReportedAmountFairValueDisclosureMember2020-09-300000840489us-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel1Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:FairValueInputsLevel2Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:SeniorNotesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-09-300000840489us-gaap:CarryingReportedAmountFairValueDisclosureMember2020-12-310000840489us-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel1Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel2Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberfcfs:PawnLoansMember2020-12-310000840489fcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel1Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel2Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel3Memberfcfs:PawnLoansMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:CarryingReportedAmountFairValueDisclosureMemberus-gaap:LineOfCreditMember2020-12-310000840489us-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel1Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel2Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel3Memberus-gaap:LineOfCreditMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:SeniorNotesMemberus-gaap:CarryingReportedAmountFairValueDisclosureMember2020-12-310000840489us-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel1Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:FairValueInputsLevel2Memberus-gaap:SeniorNotesMemberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-310000840489us-gaap:SeniorNotesMemberus-gaap:FairValueInputsLevel3Memberus-gaap:EstimateOfFairValueFairValueDisclosureMember2020-12-31fcfs:segment0000840489country:US2021-07-012021-09-300000840489srt:LatinAmericaMember2021-07-012021-09-300000840489us-gaap:CorporationMember2021-07-012021-09-300000840489country:US2020-07-012020-09-300000840489srt:LatinAmericaMember2020-07-012020-09-300000840489us-gaap:CorporationMember2020-07-012020-09-300000840489srt:LatinAmericaMember2021-01-012021-09-300000840489us-gaap:CorporationMember2021-01-012021-09-300000840489country:US2020-01-012020-09-300000840489srt:LatinAmericaMember2020-01-012020-09-300000840489us-gaap:CorporationMember2020-01-012020-09-30
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended September 30, 2021
OR
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from __________ to ___________

Commission file number 001-10960
https://cdn.kscope.io/46d84647e438912a572cd89b0ca2f2f5-fcfs-20210930_g1.jpg
FIRSTCASH, INC.
(Exact name of registrant as specified in its charter)
Delaware75-2237318
(State or other jurisdiction of incorporation or organization)(I.R.S. Employer Identification No.)

1600 West 7th Street, Fort Worth, Texas 76102
(Address of principal executive offices) (Zip code)

(817) 335-1100
(Registrant’s telephone number, including area code)

Not Applicable
(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:
Title of each classTrading Symbol(s)Name of each exchange on which registered
Common Stock, par value $.01 per shareFCFSThe Nasdaq Stock Market

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   No

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).     Yes   No



Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company” and “emerging growth company” in Rule 12b-2 of the Exchange Act.
Large accelerated filerAccelerated filer
Non-accelerated filerSmaller reporting company
Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).      Yes   No

As of October 19, 2021, there were 40,433,427 shares of common stock outstanding.





FIRSTCASH, INC.
FORM 10-Q FOR THE QUARTER ENDED SEPTEMBER 30, 2021

INDEX



CAUTIONARY STATEMENT REGARDING RISKS AND UNCERTAINTIES THAT MAY AFFECT FUTURE RESULTS

Forward-Looking Information

This quarterly report contains forward-looking statements about the business, financial condition and prospects of FirstCash, Inc. and its wholly owned subsidiaries (together, the “Company”). Forward-looking statements, as that term is defined in the Private Securities Litigation Reform Act of 1995, can be identified by the use of forward-looking terminology such as “believes,” “projects,” “expects,” “may,” “estimates,” “should,” “plans,” “targets,” “intends,” “could,” “would,” “anticipates,” “potential,” “confident,” “optimistic” or the negative thereof, or other variations thereon, or comparable terminology, or by discussions of strategy, objectives, estimates, guidance, expectations and future plans. Forward-looking statements can also be identified by the fact these statements do not relate strictly to historical or current matters. Rather, forward-looking statements relate to anticipated or expected events, activities, trends or results. Because forward-looking statements relate to matters that have not yet occurred, these statements are inherently subject to risks and uncertainties.

While the Company believes the expectations reflected in forward-looking statements are reasonable, there can be no assurances such expectations will prove to be accurate. Security holders are cautioned such forward-looking statements involve risks and uncertainties. Certain factors may cause results to differ materially from those anticipated by the forward-looking statements made in this quarterly report. Such factors may include, without limitation, the risks, uncertainties and regulatory developments: (1) related to the COVID-19 pandemic, including the unknown duration and severity of the COVID-19 pandemic, and the impact of governmental responses that have been, and may in the future be, imposed in response to the pandemic, and (2) discussed and described in the Company’s most recent Annual Report on Form 10-K filed with the Securities and Exchange Commission (the “SEC”), including the risks described in Part 1, Item 1A, “Risk Factors” thereof, and other reports filed subsequently by the Company with the SEC. Many of these risks and uncertainties are beyond the ability of the Company to control, nor can the Company predict, in many cases, all of the risks and uncertainties that could cause its actual results to differ materially from those indicated by the forward-looking statements. The forward-looking statements contained in this quarterly report speak only as of the date of this quarterly report, and the Company expressly disclaims any obligation or undertaking to report any updates or revisions to any such statement to reflect any change in the Company’s expectations or any change in events, conditions or circumstances on which any such statement is based, except as required by law.




PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

FIRSTCASH, INC.
CONSOLIDATED BALANCE SHEETS
(unaudited, in thousands)
 September 30,December 31,
 202120202020
ASSETS   
Cash and cash equivalents$49,907 $78,844 $65,850 
Fees and service charges receivable43,492 36,423 41,110 
Pawn loans348,993 270,619 308,231 
Inventories254,260 168,664 190,352 
Income taxes receivable4,791 7,534 9,634 
Prepaid expenses and other current assets10,002 10,647 9,388 
Total current assets711,445 572,731 624,565 
Property and equipment, net411,042 341,827 373,667 
Operating lease right of use asset300,040 289,175 298,957 
Goodwill1,014,052 932,329 977,381 
Intangible assets, net83,019 83,837 83,651 
Other assets8,413 9,087 9,818 
Deferred tax assets5,472 6,509 4,158 
Total assets$2,533,483 $2,235,495 $2,372,197 
LIABILITIES AND STOCKHOLDERS’ EQUITY   
Accounts payable and accrued liabilities$87,629 $79,979 $81,917 
Customer deposits46,702 36,189 34,719 
Income taxes payable522 183 1,148 
Lease liability, current89,502 84,970 88,622 
Total current liabilities224,355 201,321 206,406 
Revolving unsecured credit facilities246,000 40,000 123,000 
Senior unsecured notes493,499 492,775 492,916 
Deferred tax liabilities78,191 69,261 71,173 
Lease liability, non-current197,618 188,212 194,887 
Total liabilities1,239,663 991,569 1,088,382 
Stockholders’ equity:   
Common stock493 493 493 
Additional paid-in capital1,222,432 1,226,512 1,221,788 
Retained earnings849,438 767,683 789,303 
Accumulated other comprehensive loss(125,761)(164,877)(118,432)
Common stock held in treasury, at cost(652,782)(585,885)(609,337)
Total stockholders’ equity1,293,820 1,243,926 1,283,815 
Total liabilities and stockholders’ equity$2,533,483 $2,235,495 $2,372,197 
The accompanying notes are an integral part of these consolidated financial statements.
1


FIRSTCASH, INC.
CONSOLIDATED STATEMENTS OF INCOME
(unaudited, in thousands, except per share amounts)
 Three Months EndedNine Months Ended
 September 30,September 30,
 2021202020212020
Revenue:    
Retail merchandise sales$268,726 $234,982 $806,335 $819,011 
Pawn loan fees121,365 99,570 346,796 343,675 
Wholesale scrap jewelry sales9,583 25,281 44,060 74,437 
Consumer loan and credit services fees 57  2,003 
Total revenue399,674 359,890 1,197,191 1,239,126 
Cost of revenue:    
Cost of retail merchandise sold158,057 137,230 468,634 493,436 
Cost of wholesale scrap jewelry sold8,528 19,818 37,657 61,022 
Consumer loan and credit services loss provision 104  (480)
Total cost of revenue166,585 157,152 506,291 553,978 
Net revenue233,089 202,738 690,900 685,148 
Expenses and other income:    
Store operating expenses138,619 132,061 415,071 426,612 
Administrative expenses30,208 24,354 88,605 85,642 
Depreciation and amortization11,217 10,426 32,731 31,424 
Interest expense7,961 6,561 22,389 21,953 
Interest income(143)(499)(420)(1,209)
Merger and acquisition expenses12 7 1,264 209 
Loss (gain) on foreign exchange558 (432)248 1,639 
Write-off of certain Cash America merger related lease intangibles361 837 1,640 4,649 
Loss on extinguishment of debt 11,737  11,737 
Impairment of certain other assets   1,900 
Total expenses and other income188,793 185,052 561,528 584,556 
Income before income taxes44,296 17,686 129,372 100,592 
Provision for income taxes10,900 2,624 33,834 26,739 
Net income$33,396 $15,062 $95,538 $73,853 
Earnings per share:    
Basic$0.83 $0.36 $2.34 $1.78 
Diluted$0.82 $0.36 $2.34 $1.77 
The accompanying notes are an integral part of these consolidated financial statements.
2


FIRSTCASH, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(unaudited, in thousands)
 Three Months EndedNine Months Ended
 September 30,September 30,
 2021202020212020
Net income$33,396 $15,062 $95,538 $73,853 
Other comprehensive income:    
Currency translation adjustment(9,971)7,273 (7,329)(67,908)
Comprehensive income$23,425 $22,335 $88,209 $5,945 
 The accompanying notes are an integral part of these consolidated financial statements.

3


FIRSTCASH, INC.
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
(unaudited, in thousands, except per share amounts)
Nine Months Ended September 30, 2021
Common
Stock
Additional
Paid-In
Capital
Retained
Earnings
Accum-
ulated
Other
Compre-
hensive
Loss
Common Stock
Held in Treasury
Total
Stock-
holders’
Equity
 SharesAmount   SharesAmount 
As of 12/31/202049,276 $493 $1,221,788 $789,303 $(118,432)8,238 $(609,337)$1,283,815 
Shares issued under share-based compensation plan, net of 28 shares net-settled
— — (7,090)— — (73)5,427 (1,663)
Share-based compensation expense
— — 3,625 — — — — 3,625 
Net income— — — 33,715 — — — 33,715 
Cash dividends ($0.27 per share)
— — — (11,097)— — — (11,097)
Currency translation adjustment
— — — — (12,335)— — (12,335)
Purchases of treasury stock
— — — — — 84 (4,967)(4,967)
As of 3/31/2021 49,276 $493 $1,218,323 $811,921 $(130,767)8,249 $(608,877)$1,291,093 
Share-based compensation expense
— — 1,625 — — — — 1,625 
Net income— — — 28,427 — — — 28,427 
Cash dividends ($0.30 per share)
— — — (12,308)— — — (12,308)
Currency translation adjustment
— — — — 14,977 — — 14,977 
Purchases of treasury stock
— — — — — 452 (32,998)(32,998)
As of 6/30/2021 49,276 $493 $1,219,948 $828,040 $(115,790)8,701 $(641,875)$1,290,816 
Exercise of stock options— — (358)— — (10)738 380 
Share-based compensation expense— — 2,842 — — — — 2,842 
Net income— — — 33,396 — — — 33,396 
Cash dividends ($0.30 per share)
— — — (11,998)— — — (11,998)
Currency translation adjustment
— — — — (9,971)— — (9,971)
Purchases of treasury stock
— — — — — 152 (11,645)(11,645)
As of 9/30/2021 49,276 $493 $1,222,432 $849,438 $(125,761)8,843 $(652,782)$1,293,820 
The accompanying notes are an integral part of these consolidated financial statements.
4


FIRSTCASH, INC.
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY
CONTINUED
(unaudited, in thousands, except per share amounts)
Nine Months Ended September 30, 2020
Common
Stock
Additional
Paid-In
Capital
Retained
Earnings
Accum-
ulated
Other
Compre-
hensive
Loss
Common Stock
Held in Treasury
Total
Stock-
holders’
Equity
 SharesAmount   SharesAmount 
As of 12/31/201949,276 $493 $1,231,528 $727,476 $(96,969)6,947 $(512,493)$1,350,035 
Shares issued under share-based compensation plan, net of 46 shares net-settled
— — (10,266)— — (93)6,939 (3,327)
Share-based compensation expense— — 2,851 — — — — 2,851 
Net income— — — 32,918 — — — 32,918 
Cash dividends ($0.27 per share)
— — — (11,268)— — — (11,268)
Currency translation adjustment— — — — (83,503)— — (83,503)
Purchases of treasury stock— — — — — 981 (80,331)(80,331)
As of 3/31/2020 49,276 $493 $1,224,113 $749,126 $(180,472)7,835 $(585,885)$1,207,375 
Share-based compensation expense— — 2,399 — — — — 2,399 
Net income— — — 25,873 — — — 25,873 
Cash dividends ($0.27 per share)
— — — (11,189)— — — (11,189)
Currency translation adjustment— — — — 8,322 — — 8,322 
As of 6/30/2020 49,276 $493 $1,226,512 $763,810 $(172,150)7,835 $(585,885)$1,232,780 
Net income— — — 15,062 — — — 15,062 
Cash dividends ($0.27 per share)
— — — (11,189)— — — (11,189)
Currency translation adjustment— — — — 7,273 — — 7,273 
As of 9/30/2020 49,276 $493 $1,226,512 $767,683 $(164,877)7,835 $(585,885)$1,243,926 
The accompanying notes are an integral part of these consolidated financial statements.
5


FIRSTCASH, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(unaudited, in thousands)
 Nine Months Ended
September 30,
 20212020
Cash flow from operating activities:  
Net income$95,538 $73,853 
Adjustments to reconcile net income to net cash flow provided by operating activities:  
Non-cash portion of consumer loan credit loss provision (829)
Share-based compensation expense8,092 5,250 
Depreciation and amortization expense32,731 31,424 
Amortization of debt issuance costs1,223 1,219 
Write-off of certain Cash America merger related lease intangibles1,640 4,649 
Loss on extinguishment of debt 11,737 
Impairment of certain other assets 1,900 
Deferred income taxes, net5,622 11,401 
Changes in operating assets and liabilities, net of business combinations:  
Fees and service charges receivable(2,302)8,291 
Inventories purchased directly from customers, wholesalers or manufacturers(25,592)26,628 
Prepaid expenses and other assets229 75 
Accounts payable, accrued liabilities and other liabilities16,538 12,971 
Income taxes4,131 (11,203)
Net cash flow provided by operating activities137,850 177,366 
Cash flow from investing activities:  
Loan receivables, net(70,637)145,930 
Purchases of furniture, fixtures, equipment and improvements(31,608)(27,853)
Purchases of store real property(38,256)(20,946)
Acquisitions of pawn stores, net of cash acquired(49,434)(9,340)
Net cash flow (used in) provided by investing activities(189,935)87,791 
Cash flow from financing activities:  
Borrowings from unsecured credit facilities338,000 221,925 
Repayments of unsecured credit facilities(215,000)(520,433)
Issuance of senior unsecured notes due 2028 500,000 
Redemption of senior unsecured notes due 2024 (300,000)
Redemption premium and other redemption costs on senior unsecured notes due 2024 (8,781)
Debt issuance costs paid (5,285)
Purchases of treasury stock(49,610)(80,331)
Proceeds from exercise of stock options380  
Payment of withholding taxes on net share settlements of restricted stock awards(1,663)(3,327)
Dividends paid(35,403)(33,646)
Net cash flow provided by (used in) financing activities36,704 (229,878)
Effect of exchange rates on cash(562)(2,962)
Change in cash and cash equivalents(15,943)32,317 
Cash and cash equivalents at beginning of the period65,850 46,527 
Cash and cash equivalents at end of the period$49,907 $78,844 

The accompanying notes are an integral part of these consolidated financial statements.    

6


FIRSTCASH, INC.
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (unaudited)

Note 1 - General

Basis of Presentation

The accompanying consolidated balance sheet as of December 31, 2020, which is derived from audited financial statements, and the unaudited consolidated financial statements, including the notes thereto, include the accounts of FirstCash, Inc. and its wholly-owned subsidiaries (together, the “Company”). The Company regularly makes acquisitions and the results of operations for the acquired stores have been consolidated since the acquisition dates. All significant intercompany accounts and transactions have been eliminated.

These unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the rules and regulations for reporting on Form 10-Q. Accordingly, they do not include certain information and disclosures required for comprehensive financial statements. These interim period financial statements should be read in conjunction with the Company’s consolidated financial statements, which are included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2020, filed with the Securities and Exchange Commission (the “SEC”) on February 1, 2021. The consolidated financial statements as of September 30, 2021 and 2020, and for the three month and nine month periods ended September 30, 2021 and 2020, 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 flow for such interim periods. Operating results for the periods ended September 30, 2021 are not necessarily indicative of the results that may be expected for the full year.

The Company has operations in Latin America, where in Mexico, Guatemala and Colombia, the functional currency is the Mexican peso, Guatemalan quetzal and Colombian peso. Accordingly, the assets and liabilities of these subsidiaries are translated into U.S. dollars at the exchange rate in effect at each balance sheet date, and the resulting adjustments are accumulated in other comprehensive income (loss) as a separate component of stockholders’ equity. Revenues and expenses are translated at the average exchange rates occurring during the respective period. The Company also has operations in El Salvador where the reporting and functional currency is the U.S. dollar.

Continuing Impact of COVID-19

The Company continues to monitor the impact of the COVID-19 pandemic on all aspects of its business. The extent to which COVID-19 continues to impact the Company’s operations, results of operations, liquidity and financial condition will depend on future developments, which are highly uncertain and cannot be predicted with confidence, including the unknown duration and severity of the COVID-19 pandemic, which may be impacted by variants of the COVID-19 virus and the adoption rate of the COVID-19 vaccines in the jurisdictions in which the Company operates, and the actions taken to contain the impact of COVID-19, as well as further actions taken to limit the resulting economic impact. In particular, government stimulus and other transfer programs have and may continue to have a material adverse impact on demand for pawn loans in future periods.

Use of Estimates

The preparation of interim financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and related revenue and expenses, and the disclosure of gain and loss contingencies at the date of the financial statements. Such estimates and assumptions are subject to a number of risks and uncertainties which may cause actual results to differ materially from the Company’s estimates.

Reclassification

Certain amounts in the consolidated statements of income and consolidated statements of cash flows for the nine months ended September 30, 2020 have been reclassified in order to conform to the 2021 presentation.


7


Recent Accounting Pronouncements

In December 2019, the Financial Accounting Standards Board issued ASU No 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” (“ASU 2019-12”). ASU 2019-12 removes certain exceptions to the general principles in Topic 740 in Generally Accepted Accounting Principles. ASU 2019-12 is effective for public entities for fiscal years beginning after December 15, 2020, with early adoption permitted. The adoption of ASU 2019-12 did not have a material effect on the Company’s current financial position, results of operations or financial statement disclosures.

In March 2020, the Financial Accounting Standards Board issued ASU No 2020-04, “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting” (“ASU 2020-04”). ASU 2020-04 provides temporary optional expedients and exceptions to the GAAP guidance on contract modifications and hedge accounting to ease the financial reporting burdens related to the expected market transition from the London Interbank Offered Rate (LIBOR) and other interbank offered rates to alternative reference rates. ASU 2020-04 was effective beginning on March 12, 2020, and the Company may elect to apply the amendments prospectively through December 31, 2022. The Company does not expect ASU 2020-04 to have a material effect on the Company’s current financial position, results of operations or financial statement disclosures.

In August 2021, the Financial Accounting Standards Board issued ASU No 2021-06, “Presentation of Financial Statements (Topic 205), Financial Services—Depository and Lending (Topic 942), and Financial Services—Investment Companies (Topic 946): Amendments to SEC Paragraphs Pursuant to SEC Final Rule Releases No. 33-10786, Amendments to Financial Disclosures About Acquired and Disposed Businesses, and No.33-10835, Update of Statistical Disclosures for Bank and Savings and Loan Registrants” (“ASU 2021-06”). ASU 2021-06 amends certain SEC disclosure guidance that is included in the accounting standards codification to reflect the SEC’s recent issuance of rules intended to modernize and streamline disclosure requirements. The Company adopted ASU 2021-06 upon issuance, which did not have a material effect on the Company’s current financial position, results of operations or financial statement disclosures.

Note 2 - Earnings Per Share

The following table sets forth the computation of basic and diluted earnings per share (in thousands, except per share amounts):

Three Months EndedNine Months Ended
September 30,September 30,
 2021202020212020
Numerator:    
Net income$33,396 $15,062 $95,538 $73,853 
Denominator:    
Weighted-average common shares for calculating basic earnings per share40,453 41,440 40,745 41,597 
Effect of dilutive securities:    
Stock options and restricted stock unit awards63 96 44 94 
Weighted-average common shares for calculating diluted earnings per share40,516 41,536 40,789 41,691 
Earnings per share:    
Basic$0.83 $0.36 $2.34 $1.78 
Diluted$0.82 $0.36 $2.34 $1.77 


8


Note 3 - Acquisitions

Consistent with the Company’s strategy to continue its expansion of pawn stores in strategic markets, during the nine months ended September 30, 2021, the Company acquired 28 pawn stores in the U.S. in two separate transactions. The aggregate purchase price for these acquisitions totaled $50.7 million, net of cash acquired and subject to future post-closing adjustments. The aggregate purchase price was composed of $48.5 million in cash paid at closing and remaining short-term amounts payable to the sellers of approximately $2.2 million.

The purchase price of each of the 2021 acquisitions was allocated to assets acquired and liabilities assumed based upon the estimated fair market values at the date of acquisition. The excess purchase price over the estimated fair market value of the net assets acquired has been recorded as goodwill. The goodwill arising from these acquisitions consists largely of the synergies and economies of scale expected from combining the operations of the Company and the pawn stores acquired. These acquisitions were not material individually or in the aggregate to the Company’s consolidated financial statements.

The estimated fair value of the assets acquired and liabilities assumed are preliminary, as the Company is gathering information to finalize the valuation of these assets and liabilities. The preliminary allocation of the aggregate purchase price for these individually immaterial acquisitions during the nine months ended September 30, 2021 is as follows (in thousands):

Pawn loans$5,658 
Pawn loan fees receivable306 
Inventories5,481 
Other current assets161 
Property and equipment839 
Goodwill (1)
38,920 
Intangible assets620 
Current liabilities(1,271)
Aggregate purchase price$50,714 

(1)Substantially all of the goodwill is expected to be deductible for U.S. income tax purposes.

The results of operations for the acquired stores have been consolidated since the respective acquisition dates. During the nine months ended September 30, 2021, revenue from the acquired stores was $11.1 million and the earnings from the combined acquisitions since the acquisition dates (including $1.0 million of transaction and integration costs, net of tax) was approximately $1.4 million.

Note 4 - Operating Leases

The Company leases the majority of its pawnshop locations under operating leases and determines if an arrangement is or contains a lease at inception. Many leases include both lease and non-lease components, which the Company accounts for separately. Lease components include rent, taxes and insurance costs while non-lease components include common area or other maintenance costs. Operating leases are included in operating lease right of use assets, lease liability, current and lease liability, non-current in the consolidated balance sheets. The Company does not have any finance leases.

Leased facilities are generally leased for a term of three to five years with one or more options to renew for an additional three to five years, typically at the Company’s sole discretion. In addition, the majority of these leases can be terminated early upon an adverse change in law which negatively affects the store’s profitability. The Company regularly evaluates renewal and termination options to determine if the Company is reasonably certain to exercise the option, and excludes these options from the lease term included in the recognition of the operating lease right of use asset and lease liability until such certainty exists. The weighted-average remaining lease term for operating leases as of September 30, 2021 and 2020 was 4.1 years.

The operating lease right of use asset and lease liability is recognized based on the present value of the future minimum lease payments over the lease term at the commencement date. The Company’s leases do not provide an implicit rate and therefore, it uses its incremental borrowing rate based on the information available at the lease commencement date in determining the present value of the lease payments. The Company utilizes a portfolio approach for determining the incremental borrowing rate to apply to groups of leases with similar characteristics. The weighted-average discount rate used to measure the lease liability as of September 30, 2021 and 2020 was 6.4% and 7.2%, respectively.

9


The Company has certain operating leases in Mexico which are denominated in U.S. dollars. The liability related to these leases is considered a monetary liability, and requires remeasurement each reporting period into the functional currency (Mexican pesos) using reporting date exchange rates. The remeasurement results in the recognition of foreign currency exchange gains or losses each reporting period, which can produce a certain level of earnings volatility. The Company recognized a foreign currency loss of $0.5 million and a gain of $0.4 million during the three months ended September 30, 2021 and 2020, respectively, related to the remeasurement of these U.S. dollar denominated operating leases, which is included in (gain) loss on foreign exchange in the accompanying consolidated statements of income. During the nine months ended September 30, 2021 and 2020, the Company recognized a foreign currency loss of $0.4 million and $3.5 million, respectively, related to these U.S. dollar denominated leases.

Lease expense is recognized on a straight-line basis over the lease term, with variable lease expense recognized in the period such payments are incurred. The following table details the components of lease expense included in store operating expenses in the consolidated statements of income during the three and nine months ended September 30, 2021 and 2020 (in thousands):

Three Months EndedNine Months Ended
September 30,September 30,
2021202020212020
Operating lease expense$31,595 $30,038 $94,034 $90,673 
Variable lease expense (1)
4,120 3,656 11,893 10,604 
Total operating lease expense$35,715 $33,694 $105,927 $101,277 

(1)Variable lease costs consist primarily of taxes, insurance and common area or other maintenance costs paid based on actual costs incurred by the lessor and can therefore vary over the lease term.

The following table details the maturity of lease liabilities for all operating leases as of September 30, 2021 (in thousands):

Three months ending December 31, 2021$28,216 
202299,302 
202379,255 
202455,771 
202530,568 
Thereafter33,062 
Total$326,174 
Less amount of lease payments representing interest(39,054)
Total present value of lease payments$287,120 

The following table details supplemental cash flow information related to operating leases for the nine months ended September 30, 2021 and 2020 (in thousands):

Nine Months Ended
September 30,
20212020
Cash paid for amounts included in the measurement of operating lease liabilities$85,565 $82,473 
Leased assets obtained in exchange for new operating lease liabilities$78,280 $81,151 


10


Note 5 - Long-Term Debt

The following table details the Company’s long-term debt at the respective principal amounts, net of unamortized debt issuance costs on the senior unsecured notes (in thousands):

As of September 30,As of
December 31,
202120202020
Revolving unsecured credit facility, maturing 2024 (1)
$246,000 $40,000 $123,000 
4.625% senior unsecured notes due 2028 (2)
493,499 492,775 492,916 
Total long-term debt$739,499 $532,775 $615,916 

(1)Debt issuance costs related to the Company’s revolving unsecured credit facilities are included in other assets in the accompanying consolidated balance sheets.

(2)As of September 30, 2021, 2020 and December 31, 2020, deferred debt issuance costs of $6.5 million, $7.2 million and $7.1 million, respectively, are included as a direct deduction from the carrying amount of the senior unsecured notes due 2028 in the accompanying consolidated balance sheets.

Revolving Unsecured Credit Facility

As of September 30, 2021, the Company maintained an unsecured line of credit with a group of U.S. based commercial lenders (the “Credit Facility”) in the amount of $500.0 million. The Credit Facility matures on December 19, 2024. As of September 30, 2021, the Company had $246.0 million in outstanding borrowings and $3.2 million in outstanding letters of credit under the Credit Facility, leaving $250.8 million available for future borrowings, subject to certain financial covenants. The Credit Facility is unsecured and bears interest, at the Company’s option, of either (1) the prevailing LIBOR (with interest periods of 1 week or 1, 2, 3 or 6 months at the Company’s option) plus a fixed spread of 2.5% or (2) the prevailing prime or base rate plus a fixed spread of 1.5%. The agreement has a LIBOR floor of 0%. Additionally, the Company is required to pay an annual commitment fee of 0.325% on the average daily unused portion of the Credit Facility commitment. The weighted-average interest rate on amounts outstanding under the Credit Facility at September 30, 2021 was 2.63% based on 1 week LIBOR. Under the terms of the Credit Facility, the Company is required to maintain certain financial ratios and comply with certain financial covenants. The Credit Facility also contains customary restrictions on the Company’s ability to incur additional debt, grant liens, make investments, consummate acquisitions and similar negative covenants with customary carve-outs and baskets. The Company was in compliance with the covenants of the Credit Facility as of September 30, 2021. During the nine months ended September 30, 2021, the Company received net proceeds of $123.0 million from borrowings pursuant to the Credit Facility.

Revolving Unsecured Uncommitted Credit Facility

As of September 30, 2021, the Company’s primary subsidiary in Mexico, First Cash S.A. de C.V., maintained an unsecured and uncommitted line of credit guaranteed by FirstCash, Inc. with a bank in Mexico (the “Mexico Credit Facility”) in the amount of $600.0 million Mexican pesos. The Mexico Credit Facility bears interest at the Mexican Central Bank’s interbank equilibrium rate (“TIIE”) plus a fixed spread of 2.5% and matures on March 9, 2023. Under the terms of the Mexico Credit Facility, the Company is required to maintain certain financial ratios and comply with certain financial covenants. The Company was in compliance with the covenants of the Mexico Credit Facility as of September 30, 2021. At September 30, 2021, the Company had no amount outstanding under the Mexico Credit Facility and $600.0 million Mexican pesos available for borrowings.

Senior Unsecured Notes Due 2028

On August 26, 2020, the Company issued $500.0 million of 4.625% senior unsecured notes due on September 1, 2028 (the “Notes”), all of which are currently outstanding. Interest on the Notes is payable semi-annually in arrears on March 1 and September 1. The Notes are fully and unconditionally guaranteed on a senior unsecured basis jointly and severally by all of the Company's existing and future domestic subsidiaries that guarantee its Credit Facility. The Notes will permit the Company to make restricted payments, such as purchasing shares of its stock and paying cash dividends, in an unlimited amount if, after giving pro forma effect to the incurrence of any indebtedness to make such payment, the Company's consolidated total debt ratio is less than 2.75 to 1. The consolidated total debt ratio is defined generally in the indenture governing the Notes as the ratio of (1) the total consolidated debt of the Company minus cash and cash equivalents of the Company to (2) the Company’s consolidated trailing twelve months EBITDA, as adjusted to exclude certain non-recurring expenses and giving pro forma effect to operations acquired during the measurement period. As of September 30, 2021, the Company’s consolidated total debt
11


ratio was 2.7 to 1. While the Notes generally limit the Company’s ability to make restricted payments if the consolidated total debt ratio is greater than 2.75 to 1, restricted payments are allowable within certain permitted baskets, which currently provides the Company with continued flexibility to make restricted payments when the Company’s consolidated total debt ratio is greater than 2.75 to 1.

The Company utilized the net proceeds from the offering of the Notes to redeem all of the $300.0 million aggregate principal amount of the Company’s 5.375% senior notes due 2024 and to repay a portion of the Company’s Credit Facility.

Note 6 - Fair Value of Financial Instruments

The fair value of financial instruments is determined by reference to various market data and other valuation techniques, as appropriate. Financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The three fair value levels are (from highest to lowest):

Level 1: Quoted market prices in active markets for identical assets or liabilities.
Level 2: Observable market-based inputs or unobservable inputs that are corroborated by market data.
Level 3: Unobservable inputs that are not corroborated by market data.

Recurring Fair Value Measurements

As of September 30, 2021, 2020 and December 31, 2020, the Company did not have any financial assets or liabilities measured at fair value on a recurring basis.

Fair Value Measurements on a Non-Recurring Basis

The Company measures non-financial assets and liabilities, such as property and equipment and intangible assets, at fair value on a non-recurring basis, or when events or circumstances indicate that the carrying amount of the assets may be impaired. During the nine months ended September 30, 2020, the Company recorded a $1.9 million impairment related to a non-financial, non-operating asset that was included in other assets in the consolidated balance sheets.

Financial Assets and Liabilities Not Measured at Fair Value

The Company’s financial assets and liabilities as of September 30, 2021, 2020 and December 31, 2020 that are not measured at fair value in the consolidated balance sheets are as follows (in thousands):

Carrying ValueEstimated Fair Value
September 30,September 30,Fair Value Measurements Using
20212021Level 1Level 2Level 3
Financial assets:
Cash and cash equivalents$49,907 $49,907 $49,907 $ $ 
Fees and service charges receivable43,492 43,492   43,492 
Pawn loans348,993 348,993   348,993 
$442,392 $442,392 $49,907 $ $392,485 
Financial liabilities:
Revolving unsecured credit facilities$246,000 $246,000 $