ATLANTA, Aug. 5, 2024 /PRNewswire/ -- The Aaron's Company, Inc. (NYSE: AAN) today released its second quarter 2024 financial results. Highlights of those results are included below, in the attached supplement, and at investor.aarons.com.
Second Quarter 2024 Consolidated Results:
- Revenues were $503.1 million
- Net loss was $11.9 million
- Adjusted EBITDA1 was $24.5 million
- Loss per share was $0.39; Non-GAAP loss per share1 was $0.07
Key Business Highlights2:
- Announced the Company entered into a definitive agreement to be acquired by IQVentures Holdings, LLC for $10.10 per share
- Aaron's Business recurring revenue written increased 6.1% driven by 11.1% growth in lease merchandise deliveries
- E-commerce recurring revenue written increased 79.4% benefiting from new omnichannel lease decisioning and customer acquisition program
- Lease portfolio size ended Q2 down 2.0% year-over-year and same store3 lease portfolio size ended Q2 up 1.6% year-over-year
- BrandsMart comparable sales decreased 7.3%
- Announced quarterly cash dividend of $0.125 per share to be paid on October 3, 2024
Transaction with IQVentures Holdings, LLC:
As previously announced on June 17, 2024, The Aaron's Company, Inc. has entered into a definitive agreement to be acquired by IQVentures Holdings, LLC ("IQVentures"), a leading fintech organization, for $10.10 per share in cash, or an enterprise value of approximately $504 million. The transaction is expected to close by the end of the year, subject to shareholder approval and other customary closing conditions.
In light of the pending transaction, the Company will not be hosting an earnings conference call to discuss its results for the quarter and is withdrawing outlook for 2024.
About The Aaron's Company, Inc.
Headquartered in Atlanta, The Aaron's Company, Inc. (NYSE: AAN) is a leading, technology-enabled, omnichannel provider of lease-to-own and retail purchase solutions of appliances, electronics, furniture, and other home goods across its brands: Aaron's, BrandsMart U.S.A., BrandsMart Leasing, and Woodhaven. Aaron's offers a direct-to-consumer lease-to-own solution through its approximately 1,210 Company-operated and franchised stores in 47 states and Canada, as well as its e-commerce platform. BrandsMart U.S.A. is one of the leading appliance retailers in the country with 12 retail stores in Florida and Georgia, as well as its e-commerce platform. BrandsMart Leasing offers lease-to-own solutions to customers of BrandsMart U.S.A. Woodhaven is the Company's furniture manufacturing division. For more information, visit investor.aarons.com, aarons.com, and brandsmartusa.com.
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1. | Item is a Non-GAAP financial measure. Refer to the "Use of Non-GAAP Financial Information" and supporting reconciliation tables in the attached supplement. For Adjusted EBITDA, the most comparable GAAP metric is net loss. For Non-GAAP loss per share, the most comparable GAAP metric is loss per share. |
2. | Comparisons are to the prior year period unless otherwise noted. Key operating metrics do not include BrandsMart Leasing. |
3. | With respect to any metric, "same store" includes all stores open for the 15-month period ended June 30, 2024, excluding stores that received lease agreements from other acquired, closed or merged stores. |
SOURCE The Aaron's Company, Inc.
