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CACC's adjusted earnings of $12.12 per share beat estimates and increased 20.6% year over year.
Credit Acceptance's GAAP revenues rose 0.6%, aided by finance charges and premiums earned.
CACC cut credit-loss provisions by 7.8% and operating expenses by 13.8% year over year.
Credit Acceptance Corporation’s (CACC - Free Report) second-quarter 2026 adjusted earnings per share of $12.12 surpassed the Zacks Consensus Estimate of $11.46. The bottom line increased 20.6% year over year.
Shares of CACC lost 2.2% during after-market trading.
Results were aided by a marginal rise in revenues and lower provisions and operating expenses.
Including non-recurring items, net income was $135.9 million or $12.66 per share, up from $87.4 million or $7.42 per share in the prior-year quarter.
Total GAAP revenues were $587.4 million, up 0.6% year over year. Increased finance charges and premiums earned supported revenue growth.
Provision for credit losses was $159.2 million, down 7.8%.
Total operating expenses of $134.1 million decreased 13.8% from the prior-year quarter.
As of June 30, 2026, net loans receivable were $7.96 billion, up marginally from the end of December 2025.
Total assets were $8.62 billion as of the same date, down marginally from Dec. 31, 2025. Total shareholders’ equity was $1.59 billion, up 4.3% from Dec. 31, 2025.
During the reported quarter, Credit Acceptance repurchased 0.3 shares for $141.4 million.
Our Take on Credit Acceptance
CACC is well-positioned for revenue growth, given strengthening origination trends and continued momentum across its dealer network. Growth in active dealers is another positive. However, elevated expenses are a concern.
Credit Acceptance Corporation Price, Consensus and EPS Surprise
OneMain Holdings’ (OMF - Free Report) second-quarter 2026 adjusted earnings of $1.31 per share in the consumer and insurance (C&I) segment matched the Zacks Consensus Estimate. However, the bottom line declined 9.7% from the year-ago quarter.
Results were primarily driven by an increase in net interest income (NII) and other revenues. A sequential increase in net finance receivables was another positive for the company. However, higher total other expenses and provisions hurt OMF’s results to an extent.
Enova International, Inc. (ENVA - Free Report) reported second-quarter 2026 adjusted earnings per share of $4.31, which increased from $3.23 in the prior-year quarter. The metric surpassed the Zacks Consensus Estimate of $3.99.
ENVA’s results benefited from increased revenues and improving credit quality. However, higher expenses were a headwind.
View the Zacks #1 Rank List
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CACC Q2 Earnings Beat as Expenses & Provisions Decline, Revenues Rise
Key Takeaways
Credit Acceptance Corporation’s (CACC - Free Report) second-quarter 2026 adjusted earnings per share of $12.12 surpassed the Zacks Consensus Estimate of $11.46. The bottom line increased 20.6% year over year.
Shares of CACC lost 2.2% during after-market trading.
Results were aided by a marginal rise in revenues and lower provisions and operating expenses.
Including non-recurring items, net income was $135.9 million or $12.66 per share, up from $87.4 million or $7.42 per share in the prior-year quarter.
CACC’s GAAP Revenues Improve, Operating Expenses Decline
Total GAAP revenues were $587.4 million, up 0.6% year over year. Increased finance charges and premiums earned supported revenue growth.
Provision for credit losses was $159.2 million, down 7.8%.
Total operating expenses of $134.1 million decreased 13.8% from the prior-year quarter.
As of June 30, 2026, net loans receivable were $7.96 billion, up marginally from the end of December 2025.
Total assets were $8.62 billion as of the same date, down marginally from Dec. 31, 2025. Total shareholders’ equity was $1.59 billion, up 4.3% from Dec. 31, 2025.
During the reported quarter, Credit Acceptance repurchased 0.3 shares for $141.4 million.
Our Take on Credit Acceptance
CACC is well-positioned for revenue growth, given strengthening origination trends and continued momentum across its dealer network. Growth in active dealers is another positive. However, elevated expenses are a concern.
Credit Acceptance Corporation Price, Consensus and EPS Surprise
Credit Acceptance Corporation price-consensus-eps-surprise-chart | Credit Acceptance Corporation Quote
Currently, Credit Acceptance carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Performance of CACC’s Peers
OneMain Holdings’ (OMF - Free Report) second-quarter 2026 adjusted earnings of $1.31 per share in the consumer and insurance (C&I) segment matched the Zacks Consensus Estimate. However, the bottom line declined 9.7% from the year-ago quarter.
Results were primarily driven by an increase in net interest income (NII) and other revenues. A sequential increase in net finance receivables was another positive for the company. However, higher total other expenses and provisions hurt OMF’s results to an extent.
Enova International, Inc. (ENVA - Free Report) reported second-quarter 2026 adjusted earnings per share of $4.31, which increased from $3.23 in the prior-year quarter. The metric surpassed the Zacks Consensus Estimate of $3.99.
ENVA’s results benefited from increased revenues and improving credit quality. However, higher expenses were a headwind.