Adjusted EBITDA for Q2 was $1.5 million, slightly higher than $1.4 million in Q2 2024, despite near-term profitability pressures.
Net loss for Q2 was $11 million or $0.28 per share, compared to a net loss of $5.5 million or $0.14 per share in the prior year, impacted by a $7.3 million tax expense due to a change in tax methodology.
Operating expenses increased to $181 million in Q2 from $166 million last year, driven by higher cost of services and one-time reorganization expenses.
The company remains well-capitalized with no debt and $333 million in cash and equivalents, returning $190 million to shareholders over the past three years.
Total revenue for Q2 2025 was $172 million, up 8.8% year-over-year, driven by 4% growth in brokerage revenue and a 44% increase in financing revenue.
Year-to-date revenue was $317 million, up 10.4% from $287 million last year, with brokerage commissions accounting for 84% of revenue.
Adjusted EPS increased 48% year-over-year to $3.23, driven by efficient marketing, lower cost of funds, and operating leverage.
Combined loan and finance receivables reached a record $4.3 billion, with 65% from small business and 35% from consumer portfolios.
Cost of funds declined to 8.8%, 15 basis points lower sequentially, supported by strong capital markets execution.
Credit quality remained solid with a consolidated net charge-off ratio of 8.1%, improving 50 basis points sequentially but slightly higher than the prior year due to consumer trends.
Enova reported strong second quarter 2025 results with revenue of $764 million, a 22% year-over-year increase and 2% sequential growth.
Liquidity remained strong at $1.1 billion, including $388 million in cash and marketable securities and $712 million available on debt facilities.
Operating expenses were 32% of revenue, down from 34% a year ago, with marketing at 19% of revenue and technology and operations expenses at 8%.
Originations rose 28% year-over-year to $1.8 billion, with small business originations at a record $1.2 billion and consumer originations growing 15% year-over-year.
Small business credit metrics remained stable and strong, while consumer net charge-off ratio declined sequentially to 14.5%, within historical ranges.
Allowance for credit losses ratio increased to 1.50% due to a single $24 million CRE office loan moving to nonaccrual, significantly increasing quarterly credit loss expense.
Loan growth was solid at 7.4%, with commercial loan production of $215 million, the highest in the last 6 quarters.
MidWestOne reported net income of $10 million or $0.48 per diluted common share for Q2 2025.
Net interest income increased by $2.5 million to $50 million compared to the linked quarter, driven by higher earning asset volumes and yields and lower funding costs.
Noninterest income was $10.2 million, slightly up from $10.1 million in the linked quarter, driven by wealth management, card revenue, mortgage origination fees, and SBA gain on sale revenue.
Outside the single loan, asset quality improved with a 32 basis point decrease in criticized asset ratio and net charge-offs of only 2 basis points.
Tax equivalent net interest margin and core net interest margin both expanded 13 basis points to 3.57% and 3.49%, respectively.
Total noninterest expense was $35.8 million, a decrease of $0.5 million from the linked quarter, helped by $1.1 million in tax credit funds and a $200,000 decrease in core data processing expense.
Advisor and institutional businesses had flat sequential revenue growth as market appreciation in May and June offset April declines.
AUM and AUA grew sequentially and year-over-year, with AUM net flows roughly flat year-to-date, a significant improvement from prior year outflows.
Consolidated operating margins improved slightly year-over-year but declined sequentially due to onetime expenses and corporate overhead.
Excluding onetime items, adjusted EPS was $1.20, an increase from both the prior year and prior quarter.
Investment Managers revenue grew 8% year-over-year with double-digit growth in alternatives offsetting a 1% decline in traditional revenue due to mark-to-market weakness.
Margins declined sequentially due to investments in talent and technology, with Investment Managers margins impacted by hiring ahead of expected new business.
Private Banking revenue increased year-over-year and sequentially, supported by larger clients going live.
SEI reported EPS of $1.78 including significant onetime items totaling a $0.60 EPS impact, partially offset by $0.02 of expenses related to foreign currency losses and legal fees tied to the Stratos investment.
SEI returned significant capital to shareholders with buybacks exceeding $700 million on a trailing 12-month basis.
Dafinchi