Consumer finance company Regional Management Corp. increased its finance receivables by 14.2% in the fourth quarter that ended Dec. 31, 2016.
According to filings with the Securities and Exchange Commission, the company’s quarterly receivables were $717.8 million. Factors for the increase included an increase in small and large loan portfolios due to the company opening eight new offices in 2015 and the company’s marketing efforts over the year.
Total revenue for the quarter was up 12.9% over the same quarter the previous year. Regional Management reported revenue of $64 million with interest and fee income accounting for $59.7 million.
“The combination of strong growth, a corresponding build of allowance, and high late stage delinquencies at the end of the third quarter resulted in an increased provision in the fourth quarter versus the prior-year period,” said Peter Knitzer, Regional Management Corp. CEO, in a news release.
For the year, Regional Management had a 10.7% increase in its total revenue year-over-year. Total revenue was $240.5 million for the year. Additionally, net credit losses were up from $50.4 million in 2015 to $59.2 million in 2016.
Looking to 2017, the Greenville-based company said it plans to open 10-15 de novo branches during the year to add to its 339 current locations. Knitzer said the expansion will focus on Virginia.