Enova International, Inc. (NYSE:ENVA) Q3 2019 Earnings Conference Call - Final Transcript

Oct 24, 2019 • 05:00 pm ET


Enova International, Inc. (NYSE:ENVA) Q3 2019 Earnings Conference Call - Final Transcript


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Good day, and welcome to the Enova International Third Quarter 2019 Earnings Conference Call and Webcast. All participants will be in a listen-only mode. [Operator Instructions].

I would now like to turn the conference over to Lindsay Savarese, Investor Relations. Please go ahead.

Lindsay Savarese

Thank you, operator, and good afternoon, everyone. Enova released results for the third quarter ended September 30th, 2019, this afternoon after the market close. If you did not receive a copy of our earnings press release, you may obtain it from the Investor Relations section of our website at ir.enova.com.

With me on today's call are David Fisher, Chief Executive Officer; and Steve Cunningham, Chief Financial Officer. This call is being webcast, and will be archived on the Investor Relations section of our website.

Before I turn the call over to David, I'd like to note that today's discussion will contain forward-looking statements based on the business environment as we currently see it, and as such does include certain risks and uncertainties. Please refer to our press release and our SEC filings for more information on the specific risk factors that could cause our results to differ materially from the projections described in today's discussion. Any forward-looking statements that we make on this call are based on assumptions as of today and we undertake no obligation to update these statements as a result of new information or future events.

In addition to US GAAP reporting, we report certain financial measures that do not conform to generally accepted accounting principles. We believe these non-GAAP measures enhance the understanding of our performance. Reconciliations between these GAAP and non-GAAP measures are included in the tables found in today's press release. As noted in our earnings release, we have posted supplemental financial information on the IR portion of our website.

And with that, I'd like to turn the call over to David.

David Fisher

Thanks, Lindsay, and good afternoon everyone. Thanks for joining our call today. I'm going to start by giving you a brief overview of the third quarter and then I'll update you on our strategy. After that I'll turn the call over to Steve Cunningham, our CFO, who'll discuss our financial results and guidance in more detail.

We're pleased to deliver another quarter of strong, top and bottom line growth. Our third quarter results demonstrate our ability to effectively manage growth with profitability. Compared to Q3 of last year, we delivered 12% year-over-year revenue growth. Third quarter revenue of $330 million was primarily driven by growth in our US businesses. Third quarter adjusted EBITDA increased 39% and adjusted EPS rose 87%. While strong revenue growth, particularly, from new customers can lead to more muted earnings growth in the short term, we continued to demonstrate our ability to manage the business for both growth and profitability through rational, new customer growth, efficient marketing spend, stable credit and our ability to leverage our fixed costs with our online model.

As has been the case for the last couple of years, our Q3 financial