Cash America 2014 Annual Report Download - page 68

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53
YEAR ENDED DECEMBER 31, 2014 COMPARED TO YEAR ENDED DECEMBER 31, 2013
Pawn Lending Activities
The following table sets forth selected data related to the Company’s pawn lending activities as of and for
the years ended December 31, 2014 and 2013 (dollars in thousands except where otherwise noted).
Year Ended December 31,
2014 2013 Change % Change
Pawn loan fees and
service charges
$
329,368
$
311,799
$
17,569
5.6
%
Ending pawn loan balance (as of December 31,) $252,168 $261,148 $(8,980)
(3.4
)%
Average pawn loan balance outstanding $251,695 $238,109 $13,586
5.7
%
Amount of pawn loans written and renewed $1,071,760 $
1,014,662
$57,098
5.6
%
Average amount per pawn loan (in ones) $123 $124 $(1)
(0.8
)%
Annualized yield on pawn loans 130.9
%
130.9
%
The average balance of pawn loans outstanding increased by $13.6 million, or 5.7%, and pawn loan fees
and service charges increased by $17.6 million, or 5.6%, from 2013 to 2014. These increases were primarily due to
growth from acquisitions that occurred in the second half of 2013. The increase in pawn loan fees and service
charges in 2014 was partially offset by a decrease in the pawn loan fees and service charges of $2.3 million in the
Company’s Mexico-based pawn operations as a result of the sale of those operations in August 2014. Excluding the
impact of the decrease from the Company’s Mexico-based pawn operations, pawn loan fees and service charges
increased $19.8 million, or 6.5%, from 2013 to 2014. Excluding pawn loan balances in the Company’s Mexico-
based pawn operations, the Company’s domestic pawn loan balances decreased $4.6 million, or 1.8%, to $252.2
million in 2014, compared to $256.8 million in 2013, primarily due to lower demand for pawn loans during the
fourth quarter of 2014. Same store ending domestic pawn loan balances decreased 1.2% in 2014 compared to the
year end 2013 balances. Management believes that the precipitous decline in gasoline prices in the fourth quarter of
2014 contributed to the decrease in demand for pawn loans.