This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

First Cash Acquires 19-Store Chain Of Texas Pawn Stores; Expands Presence In Dallas, Fort Worth And Houston Markets; Updates Earnings Guidance

Stocks in this article: FCFS

ARLINGTON, Texas, June 25, 2013 (GLOBE NEWSWIRE) -- First Cash Financial Services, Inc. (Nasdaq:FCFS) today announced the acquisition of 19 large format U.S. pawn stores located in Texas. The acquired locations are in the Houston, Dallas and Fort Worth markets, operating primarily under the Valu + Pawn brand.

Rick Wessel, chief executive officer of First Cash, stated, "We are pleased to add Valu + Pawn to the First Cash family of operations. This acquisition provides us a new and meaningful presence in the large and growing Houston market, while expanding on our existing store base in the Dallas/Fort Worth area. Valu + Pawn has developed profitable, high-performing locations with experienced personnel, large pawn receivable balances and significant operating cash flows. We expect meaningful earnings accretion from the transaction, especially beginning in 2014."

The price for the all-cash asset purchase transaction was approximately $70 million, which was funded primarily with the Company's revolving credit facility. The operations and earnings of the Valu + Pawn stores have been consolidated into First Cash effective with the closing of the transaction on June 25, 2013.

Including the acquired stores, First Cash now operates a total of 866 locations and has increased its store count by 17% since the beginning of June a year ago. The Company currently operates in twelve U.S. states and 24 states in Mexico.

Earnings Guidance

The Company projects second quarter earnings to be in the range of $0.52 to $0.55 per diluted share. This estimate includes approximately $0.04 per share of non-recurring acquisition expenses, primarily associated with the Valu + Pawn transaction. Excluding the non-recurring acquisition expenses, the Company anticipates second quarter earnings to be in the range of $0.56 to $0.59 per share. The expected second quarter earnings results reflect the negative impact on revenue and scrap jewelry margins caused by significantly lower gold prices and the weaker Mexican peso.

1 of 3

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs