Brief: Goeasy Q2 Adjusted EPS CAD 4.11 Vs. IBES Estimate CAD 4.06

goeasy

06/08/2025 21:15

Overview

Goeasy Q2 revenue rises 11% yr/yr to C$418 mln

Adjusted EPS of C$4.11 beats analyst expectations

Net charge-off rate improves to 8.8%, reflecting better credit practices

Outlook

Goeasy reiterates full-year 2025 forecast provided in February

Goeasy sees growth potential in Canada's C$230 bln non-prime market

Result Drivers

LOAN ORIGINATIONS - Record C$904 mln in loan originations, up 9% from prior yr, driven by a 23% increase in credit applications

LOAN PORTFOLIO GROWTH - Loan portfolio grew to C$5.10 bln, a 23% increase from prior yr, exceeding co's outlook range

YIELD DECLINE - Total annualized yield on average consumer loans receivable decreased by 310 bps due to growth of secured loan products at lower interest rates and new interest rate cap

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
C$418 mln
Q2 Adjusted EPS
Beat
C$4.11
C$4.06 (8 Analysts)
Q2 EPS
C$5.19
Q2 Net Income
C$86.50 mln
Q2 Operating Income
C$161 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 8 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the consumer lending peer group is "buy"

Wall Street's median 12-month price target for goeasy Ltd is C$215.00, about 13.3% above its August 5 closing price of C$186.48

The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 8 three months ago

Press Release: ID:nCNWyCrTra

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)