EZCORP, Inc. (NASDAQ:EZPW) Q4 2022 Results Conference Call November 17, 2022 8:00 AM ET
Company Participants
Jean Marie Young - IR
Lachlan Given - CEO
Tim Jugmans - CFO
Conference Call Participants
Brian Nagel - Oppenheimer
John Hecht - Jefferies
Jean Marie Young - Three Part Advisors
Operator
Good morning, ladies and gentlemen. Welcome to the EZCORP Fourth Quarter and Full Year Fiscal 2022 Earnings Call. [Operator Instructions] As a reminder, this call may be recorded.
I'd now like to turn the conference call over to Jean Marie Young, Investor Relations with Three Part Advisors. Please go ahead, Jean.
Jean Marie Young
Thank you, and good morning, everyone. During our prepared remarks, we will be referring to slides, which are available for viewing or download from our website at investors.ezcorp.com.
Before we begin, I’d like to remind everyone that this conference call as well as the presentation slides contain certain forward-looking statements regarding the company’s expected operating and financial performance for future periods. These statements are based on the company's current expectations.
Actual results for future periods may differ materially from those expressed due to a number of risks or other factors that are discussed in our annual, quarterly and other reports filed with the Securities and Exchange Commission. And as noted in our presentation materials and unless otherwise identified, results are presented on an adjusted basis to remove the effect of foreign currency fluctuations and other discrete items.
Joining us on the call today are EZCORP’s Chief Executive Officer, Lachlan Given and Tim Jugmans, Chief Financial Officer.
Now I’d like to turn the call over to Lachlan Given. Lachie?
Lachlan Given
Thanks, Jean, and good morning, everyone. Our team continues to consistently execute on the strategic plan put in place at the end of fiscal 2020. We ended fiscal 2022 with an excellent fourth quarter. I want to thank our passionate and productive team members for their continued focus on operational excellence, which has driven our consistently very strong financial results.
Pawn loans outstanding, the key driver of our business was $210 million at quarter end, a 19% year-over-year increase. PLO is once again at a past level ever. Merchandise sales gross profit margin was 37%, which is within our targeted range, with aged general merchandise continuing to be less than 1% and of total GM inventory.
Beginning on Slide 3. We are a global leader in form broking and pre-owned and recycled retail. We operate 1,175 stores in the U.S. and Latin America, with strategic investments in adjacent businesses, which expand our geographic footprint lines. Across our diverse store base, the 2 core products of our consumers. We made pawn loans, second-hand goods. The macroeconomic environment continues to be a challenge for our customer base. Inflationary pressures, increasing interest rates, high gas prices and the tightening of credit from alternative lenders drive increased demand for pawn price. The demand for second-hand goods increases as consumers increasingly seek value for money eventually responsible alternatives.